IDEAS home Printed from https://ideas.repec.org/a/bas/econth/y2016i6p75-96.html
   My bibliography  Save this article

Transformation of commercial companies: global and national aspects

Author

Listed:
  • Stanislava Todorova

Abstract

The study analyzes the motives and factors influencing the transformation of commercial companies. It outlines the main reasons and circumstances, typical for transformation of large corporations operating in countries with developed economies. Two corporate reorganizations between foreign enterprises are examined. Based on specific financial and non-financial indicators the author proves the existence of the discussed motives for conversion. The study focuses on the reasons for transformation due to the specific procedure in Bulgaria. A comparison is made between the reasons for transformation,usual for transactions between large transnational companies and the circumstances motivating the implementation of conversion between Bulgarian companies.

Suggested Citation

  • Stanislava Todorova, 2016. "Transformation of commercial companies: global and national aspects," Economic Thought journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 6, pages 75-96.
    • Handle: RePEc:bas:econth:y:2016:i:6:p:75-96
    as

    Download full text from publisher

    File URL: https://etj.iki.bas.bg/storage/app/uploads/public/62a/2f7/60a/62a2f760a5691844948844.pdf
    Download Restriction: Fee access (Bulgarian)
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Morck, Randall & Shleifer, Andrei & Vishny, Robert W, 1990. "Do Managerial Objectives Drive Bad Acquisitions?," Journal of Finance, American Finance Association, vol. 45(1), pages 31-48, March.
    2. Roll, Richard, 1986. "The Hubris Hypothesis of Corporate Takeovers," The Journal of Business, University of Chicago Press, vol. 59(2), pages 197-216, April.
    3. Friedrich Trautwein, 1990. "Merger motives and merger prescriptions," Strategic Management Journal, Wiley Blackwell, vol. 11(4), pages 283-295, May.
    4. Allen, Jeffrey W. & Lummer, Scott L. & McConnell, John J. & Reed, Debra K., 1995. "Can Takeover Losses Explain Spin-Off Gains?," Journal of Financial and Quantitative Analysis, Cambridge University Press, vol. 30(4), pages 465-485, December.
    5. Debra J. Aron, 1991. "Using the Capital Market as a Monitor: Corporate Spinoffs in an Agency Framework," RAND Journal of Economics, The RAND Corporation, vol. 22(4), pages 505-518, Winter.
    6. Chemmanur, Thomas J. & Yan, An, 2004. "A theory of corporate spin-offs," Journal of Financial Economics, Elsevier, vol. 72(2), pages 259-290, May.
    7. Schipper, Katherine & Smith, Abbie, 1983. "Effects of recontracting on shareholder wealth : The case of voluntary spin-offs," Journal of Financial Economics, Elsevier, vol. 12(4), pages 437-467, December.
    8. Eger, Carol Ellen, 1983. "An Empirical Test of the Redistribution Effect in Pure Exchange Mergers," Journal of Financial and Quantitative Analysis, Cambridge University Press, vol. 18(4), pages 547-572, December.
    9. Chemmanur, Thomas J. & Krishnan, Karthik & Nandy, Debarshi K., 2014. "The effects of corporate spin-offs on productivity," Journal of Corporate Finance, Elsevier, vol. 27(C), pages 72-98.
    10. Dennis C. Mueller, 1969. "A Theory of Conglomerate Mergers," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 83(4), pages 643-659.
    11. Dodd, Peter, 1980. "Merger proposals, management discretion and stockholder wealth," Journal of Financial Economics, Elsevier, vol. 8(2), pages 105-137, June.
    12. Hien Thu Nguyen & Kenneth Yung & Qian Sun, 2012. "Motives for Mergers and Acquisitions: Ex-Post Market Evidence from the US," Journal of Business Finance & Accounting, Wiley Blackwell, vol. 39(9-10), pages 1357-1375, November.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Luc Renneboog & Peter G. Szilagyi, 2008. "Corporate Restructuring and Bondholder Wealth," European Financial Management, European Financial Management Association, vol. 14(4), pages 792-819, September.
    2. Justin Law & Wayne Yu, 2018. "Corporate spinoffs and executive compensation," Frontiers of Business Research in China, Springer, vol. 12(1), pages 1-25, December.
    3. Etienne Redor, 2016. "Board attributes and shareholder wealth in mergers and acquisitions: a survey of the literature," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 20(4), pages 789-821, December.
    4. Neelam Rani & Surendra S. Yadav & P.K. Jain, 2013. "Market Response to the Announcement of Mergers and Acquisitions: An Empirical Study from India," Vision, , vol. 17(1), pages 1-16, March.
    5. Nazir Saima & Chisti Khalid, 2023. "Corporate Spin-Offs and Shareholders’ Wealth: A Systematic Review and Future Research Agenda," Acta Universitatis Sapientiae, Economics and Business, Sciendo, vol. 11(1), pages 42-63, October.
    6. João Carvalho Santos & Manuel Portugal Ferreira & Nuno Rosa Reis & Martinho Ribeiro Almeida, 2012. "Mergers & acquisitions research: A bibliometric study of top strategy and international business journals," Working Papers 91, globADVANTAGE, Polytechnic Institute of Leiria.
    7. Chan, Alex W.H. & Cheung, Hoi Yan, 2016. "Extraversion, individualism and M&A activities," International Business Review, Elsevier, vol. 25(1), pages 356-369.
    8. Schön, Benjamin & Pyka, Andreas, 2013. "The success factors of technology-sourcing through mergers & acquisitions: An intuitive meta-analysis," FZID Discussion Papers 78-2013, University of Hohenheim, Center for Research on Innovation and Services (FZID).
    9. Chemmanur, Thomas J. & Liu, Mark H., 2011. "Institutional trading, information production, and the choice between spin-offs, carve-outs, and tracking stock issues," Journal of Corporate Finance, Elsevier, vol. 17(1), pages 62-82, February.
    10. Ferreira, Manuel Portugal & Santos, João Carvalho & de Almeida, Martinho Isnard Ribeiro & Reis, Nuno Rosa, 2014. "Mergers & acquisitions research: A bibliometric study of top strategy and international business journals, 1980–2010," Journal of Business Research, Elsevier, vol. 67(12), pages 2550-2558.
    11. Dmitri Boreiko & Maurizio Murgia, 2013. "European spin-offs Origin, value creation, and long-term performance," BEMPS - Bozen Economics & Management Paper Series BEMPS05, Faculty of Economics and Management at the Free University of Bozen.
    12. Feng, Yi & Nandy, Debarshi K. & Tian, Yisong S., 2015. "Executive compensation and the corporate spin-off decision," Journal of Economics and Business, Elsevier, vol. 77(C), pages 94-117.
    13. Chen, Han-Sheng & Lin, Ying-Chou & Lin, Yu-Chen, 2024. "Reexamining information asymmetry related to corporate spin-offs," The Quarterly Review of Economics and Finance, Elsevier, vol. 94(C), pages 190-205.
    14. Szilagyi, P.G., 2007. "Corporate governance and the agency costs of debt and outside equity," Other publications TiSEM 9520d40a-224f-43a8-9bf9-b, Tilburg University, School of Economics and Management.
    15. Chemmanur, Thomas J. & He, Shan, 2016. "Institutional trading, information production, and corporate spin-offs," Journal of Corporate Finance, Elsevier, vol. 38(C), pages 54-76.
    16. Malmendier, Ulrike & Tate, Geoffrey, 2008. "Who makes acquisitions? CEO overconfidence and the market's reaction," Journal of Financial Economics, Elsevier, vol. 89(1), pages 20-43, July.
    17. Mella-Barral, P. & Sabourian, H., 2023. "Repeated Innovations and Excessive Spin-Offs," Cambridge Working Papers in Economics 2347, Faculty of Economics, University of Cambridge.
    18. Ana I. Fernández & Silvia Gómez-Ansón, 1999. "Un estudio de las Ofertas Públicas de Adquisición en el mercado de valores español," Investigaciones Economicas, Fundación SEPI, vol. 23(3), pages 471-495, September.
    19. Chemmanur, Thomas J. & Krishnan, Karthik & Nandy, Debarshi K., 2014. "The effects of corporate spin-offs on productivity," Journal of Corporate Finance, Elsevier, vol. 27(C), pages 72-98.
    20. Yue Liu, 2019. "Shareholder wealth effects of M&A withdrawals," Review of Quantitative Finance and Accounting, Springer, vol. 52(3), pages 681-716, April.

    More about this item

    JEL classification:

    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bas:econth:y:2016:i:6:p:75-96. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Diana Dimitrova (email available below). General contact details of provider: https://edirc.repec.org/data/ikbasbg.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.