Journal of Accounting and Economics Vol. 37 No. 1 2004
Shareholder wealth effects of pooling-of-interests accounting: evidence from the SEC's restriction on share repurchases following pooling transactions
Abstract
This paper examines the shareholders’ perceptions of the costs and benefits associated with the use of pooling-of-interests. The paper focuses on the market's reaction to the SEC's adoption of SAB 96. This regulation-forced firms to chose between using pooling-of-interests and maintaining their share repurchase programs. Overall, the results suggest shareholders perceive there to be a net cost when managers choose to use pooling-of-interests. These findings should be of particular interest to regulators, practitioners and researchers.
- DOI
- 10.1016/j.jacceco.2003.05.001
- Volume
- 37
- Issue
- 1
- Pages
- 39-57
- Language
- en
- Sources
- bibtex:phds-export.bib openalex crossref