Title
Share price divergence in mergers structured as duallisted companies: Statistically significant tests explaining the main facto,Used
Sold by Ergodebooks, an authorized reseller.
Returns accepted within 30 days | support@ergodebooks.com
Shipping Information
- Free Standard Shipping — United States only
- Processing Time: 1–3 business days
- Estimated Delivery: 3–5 business days after dispatch
- Double-boxed, fully insured & discreetly packaged
- Tracking number sent via email once dispatched
- Orders over $250 require signature upon delivery. Taxes calculated at checkout.
Returns & Refund
Returns accepted within 30 days of delivery.
Damaged or Defective Item
Free return shipping + replacement or full refund
Wrong Item Received
Free return shipping + replacement or full refund
Change of Mind
Return shipping at customer's expense · 25% restocking fee applies
Payment Option
In the last century, sixteen mergers have been structured as duallisted companies: from Royal Dutch Shell in 1907 to Thomson Reuters in 2008. With such structures, the merging entities retain separate holding companies and shareholder registers. In theory, the aggregate market value of the two companies within a DLC should be no different than if it were a unified, singleshare company. However, a common observation in dual listed structures is a divergence from theoretical parity in the share prices between the constituent companies. Divergence can be systematic or random and usually ranges from 0 to +/ 10%. The relative performance of the main indices of incorporation, the liquidity and size of each stock, the performance of the exchange rates of the currencies in which the entities operate and investor perception can be considered as factors influencing the trading course of one stock, independently on the other. All of these factors can be represented by an objective statistical variable that can be tested for significance. Once tested, these variables have been used to explain the share price divergence phenomenon.
⚠️ WARNING (California Proposition 65):
This product may contain chemicals known to the State of California to cause cancer, birth defects, or other reproductive harm.
For more information, please visit www.P65Warnings.ca.gov.