@techreport{6a789f4d6a204bb5bdd9b9b2e1439e17,
title = "Leveraged Public to Private Transactions in the UK",
abstract = "This paper examines the magnitude and the sources of the expected shareholder gains in UK public to private transactions (PTPs) in the second wave from 1997-2003.Pre-transaction shareholders on average receive a premium of 40% and the share price reaction to the PTP announcement is about 30%.The main sources of the shareholder wealth gains are undervaluation of the pre-transaction target firm, increased interest tax shields and incentive realignment.An expected reduction of free cash flows does not determine the premiums nor are PTPs a defensive reaction against a takeover.",
keywords = "Public to private, going-private, LBO, MBO, IBO, Management buyins, Management buyouts, Leveraged buyouts",
author = "L.D.R. Renneboog and T. Simons and M. Wright",
note = "Subsequently published in the Journal of Corporate Finance, 2007 (rt) Pagination: 45",
year = "2005",
language = "English",
volume = "2005-60",
series = "CentER Discussion Paper",
publisher = "Finance",
type = "WorkingPaper",
institution = "Finance",
}