Acquiring corporation should be in the driver seat

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Reference no: EM131886367

A host of empirical evidence indicates that the gains from a typical merger accrue to the shareholders of the target corporation, not to the shareholders of the acquiring corporation. It seems the acquiring corporation should be in the "driver’s seat" in a typical merger. Why don’t their shareholders benefit? What do you think typically goes wrong to cause this result?

Reference no: EM131886367

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