Kirchner Merger Arbitrage

How to Profit from Global Event-Driven Arbitrage
2. Auflage 2016
ISBN: 978-1-118-73680-7
Verlag: John Wiley & Sons
Format: PDF
Kopierschutz: Adobe DRM (»Systemvoraussetzungen)

E-Book, Englisch, 528 Seiten, E-Book

Reihe: Wiley Finance Editions

Mitigate risk and increase returns with an alternative hedgefund strategy
Merger Arbitrage: How to Profit from Event-Driven Arbitrage,Second Edition is the definitive guide to the ins and outs ofthe burgeoning merger arbitrage hedge fund strategy, withreal-world examples that illustrate how mergers work and how totake advantage of them. Author Thomas Kirchner, founder of thePennsylvania Avenue Event-Driven Fund, discusses the factors thatdrove him to invest solely in merger arbitrage and otherevent-driven strategies, and details the methods used toincorporate merger arbitrage into traditional investmentstrategies.
And while there is always a risk that a deal will fall through,the book explains how minimal such risks really are when thepotential upside is factored in. Early chapters of the book focuson the basics of the merger arbitrage strategy, including anexamination of mergers and the incorporation of risk into thearbitrage decision. Following chapters detail deal structures,financing, and legal aspects to provide the type of in-depthknowledge required to execute an effective investment strategy. Theupdated second edition stresses new, increasingly relevantinformation like:
* Worldwide legal deal regimes
* UK takeover code
* UK takeover code global offspring
* Regulators around the world
The book provides clear, concise guidance on criticalconsiderations including leverage and options, shorting stocks, andlegal recourse for inadequate merger consideration, allowingreaders to feel confident about trying a new investment strategy.With simple benefits including diversification of risk and returnstreams, this alternative hedge fund strategy has a place in eventhe most traditional plan. Merger Arbitrage: How to Profit fromEvent-Driven Arbitrage, Second Edition provides the informationthat gives investors an edge in the merger arbitrage arena.

Autoren/Hrsg.

Kirchner, Thomas

Inhaltsverzeichnis

Preface vii
Acknowledgments xi
PART ONE The Arbitrage Process 1
CHAPTER 1 Introduction to Merger Arbitrage 3
CHAPTER 2 The Mechanics of Merger Arbitrage 18
CHAPTER 3 The Role of Merger Arbitrage in a Diversified Portfolio 50
CHAPTER 4 Incorporating Risk into the Arbitrage Decision 103
PART TWO Pitfalls of Merger Arbitrage 141
CHAPTER 5 Sources of Risk and Return 143
CHAPTER 6 Deal Structures: Mergers and Tender Offers 188
CHAPTER 7 Financing 217
CHAPTER 8 Legal Aspects 250
CHAPTER 9 Management Incentives 293
CHAPTER 10 Buyouts by Private Equity 328
CHAPTER 11 Minority Squeeze-Outs 341
PART THREE Investing in Merger Arbitrage 361
CHAPTER 12 Government Involvement 363
CHAPTER 13 Four Ways to Fight Abuse of Shareholders in Mergers 409
CHAPTER 14 Investing in Arbitrage 435
Notes 475
About the Author 483
Exercises 485
Index 497

Über Autor(innen)

THOMAS F. KIRCHNER is a portfolio manager of the Quaker Event Arbitrage Fund, a mutual fund that uses merger arbitrage as one of its investment strategies.