Threatening to buy: Private equity buyouts and antitrust policy

Arbeitspapier

Private equity firms (PE firms) have become common owners of established firms in concentrated markets. We show that the threat of a PE acquisition can trigger incumbent mergers in an otherwise mergerstable industry. This can help antitrust authorities maximize consumer surplus because previously privately unprofitable - but consumer surplus-enhancing - mergers now take place. We thus predict that merger waves among incumbents should follow the development of a local PE industry.

Angaben zum Objekt

• Sprache: Englisch

Verweise und Beziehungen

• Erschienen in: Series: IFN Working Paper ; No. 1199

Klassifikation und Themen

• Klassifikation: Wirtschaft ; Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill ; Mergers; Acquisitions; Restructuring; Voting; Proxy Contests; Corporate Governance ; Oligopoly and Other Imperfect Markets ; Firm Organization and Market Structure ; Antitrust Issues and Policies: General
• Thema: Antitrust policy ; M&As ; Private equity ; Temporary ownership

Beteiligte, Orts- und Zeitangaben

• Ereignis: Geistige Schöpfung
• (wer): Norbäck, Pehr-Johan ; Persson, Lars ; Tåg, Joacim
• Ereignis: Veröffentlichung
• (wer): Research Institute of Industrial Economics (IFN)
• (wo): Stockholm
• (wann): 2018

Weitere Informationen

• Handle: http://hdl.handle.net/10419/183428
• Letzte Aktualisierung: 10.03.2025, 11:44 MEZ