Even though a takeover might be profitable, there may be little effect on the wealth...
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Finance
Even though a takeover might be profitable, there may be little effect on the wealth of acquiring company shareholders in reaction to a takeover announcement because Multiple Choice the takeover is not profitable. the expected gains from the takeover may have already been reflected in the company's share price. that returns to shareholders may have changed over time. the market is inefficient in Impounding such information the bidders has paid too much for the target
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