Incentives for Partial Acquisitions and Real Market Concentration

We analyze the incentives of a controlling shareholder of a firm to acquire, directly or indirectly through his firm, shares in a competitor. We charaterize the conditions under which these partial acquisitions as well as the equilibrium toehold and its nature: controlling or silent. We find that while this shareholder gains, the acquisition is detrimental to minority shareholders of his firm, or of the target, or even of both. We show that the incentives are enhanced if the dominant shareholder initially holds silent stakes in rivals while controlling interests may discourage them. Moreover, we find that partial acquisitions always lead to a decrease in the joint profit of the two firms involved, and an increase in competitor's profits as the market becomes less competitive.horizontal partial acquisitions ; real market concentration ; dominant shareholder ; minority shareholders ; silent interests.

Real market concentration through partial acquisitions

We study horizontal partial acquisitions in an oligopolistic industry in the absence of synergies. Contrary to existing results, we find that a dominant shareholder may choose to acquire shares in a competitor although the aggregate profit of the group of firms under his control, and even the greater group of firms in which he has a stake, is reduced. This is due to a “favorite” effect: after the acquisition, the dominant shareholder will favor the firm in which he eventually holds the relatively higher share to the detriment of shareholders of the other firms. For this reason, a block of shares can be bought at a discount when the value of the firm of the initiator decreases post acquisition. Moreover, we show that the existence of initial silent toeholds in rivals enhances the incentive for a dominant shareholder to buy shares in other firms in the industry, whereas controlling ones may discourage them.Horizontal partial acquisitions; Real market concentration; Dominant shareholder; Minority shareholders; Silent interests

Dense and long-term monitoring of Earth surface processes with passive RFID -- a review

Billions of Radio-Frequency Identification (RFID) passive tags are produced yearly to identify goods remotely. New research and business applications are continuously arising, including recently localization and sensing to monitor earth surface processes. Indeed, passive tags can cost 10 to 100 times less than wireless sensors networks and require little maintenance, facilitating years-long monitoring with ten's to thousands of tags. This study reviews the existing and potential applications of RFID in geosciences. The most mature application today is the study of coarse sediment transport in rivers or coastal environments, using tags placed into pebbles. More recently, tag localization was used to monitor landslide displacement, with a centimetric accuracy. Sensing tags were used to detect a displacement threshold on unstable rocks, to monitor the soil moisture or temperature, and to monitor the snowpack temperature and snow water equivalent. RFID sensors, available today, could monitor other parameters, such as the vibration of structures, the tilt of unstable boulders, the strain of a material, or the salinity of water. Key challenges for using RFID monitoring more broadly in geosciences include the use of ground and aerial vehicles to collect data or localize tags, the increase in reading range and duration, the ability to use tags placed under ground, snow, water or vegetation, and the optimization of economical and environmental cost. As a pattern, passive RFID could fill a gap between wireless sensor networks and manual measurements, to collect data efficiently over large areas, during several years, at high spatial density and moderate cost.Comment: Invited paper for Earth Science Reviews. 50 pages without references. 31 figures. 8 table

Takeover deterrents and cross partial ownership: The case of golden shares

We analyse takeovers in an industry with bilateral capital‐linked firms in cross partial ownership (CPO). Before merger, CPO reduces the profitability of involved firms, confirming the “outsider effect.” However, the impact of CPO upon merger profitability is two‐sided in a Cournot setting. CPO, by cointegrating profits, increases output collusion leading to anticompetitive effects with facilitated mergers in most cases. Nonetheless, a protective threshold exists for which CPO arrangements can reduce the incentives for hostile takeovers. This has potentially significant regulatory implications. An illustrative example showcases the potential relevance of CPO as a defence against hostile takeovers across different industries

Politique du patrimoine en Allemagne : un fédéralisme de coopération

In Germany, public support to cultural heritage is multiple (specific and regular subsidies, legislation relating to the royalties, inciting taxation, fiscal relief, common supports to private organisations…). Large cities that have in charge the equipment (of museums, orchestras, operas and theatres) devote a large amount of their budget to these institutions, whereas the small and medium ones finance mostly the socio-cultural and artistic activities. To be able to preserve the autonomy in cultural matters means mostly to combine different kind of funds, public one (various levels of federal funds, public organizations) and private one (coming from individuals, companies, advertising…). The financial engagement of public institutions is only justified when intended to achieve goals of public and social utility (a geographical pluralism in terms of culture/ cultural democracy/ social support for innovation and experiments/ protection of cultural heritage). A cultural policy is meant to set the rules of the game and to better distribute the private and public financial resources, at different stages (Bund, Länder and districts). Gradually, the heritage policy is part of a bigger development project in terms of spatial, cultural, social and pedagogical planning. This broader definition of heritage, its uses and its implications, makes it possible to strengthen cooperation, to change legislation and also have an impact on the institutions concerned by its management. Innovative solutions were found by the installation of consultant bodies and by the implementation of dialogue between multiple partners dealing with one specific project. The analysis of german cultural complexity shows how much it becomes necessary to reinforce horizontal coordination. This goes hand in hand with an analysis of interaction between local, regional, national and european levels.En Allemagne, les formes d’intervention publique sont multiples (subventions ponctuelles et régulières, législation relative aux droits d’auteur, fiscalité incitative, dégrèvements fiscaux, participation à des organismes de droit privé…). Les grandes villes qui gèrent les équipements lourds (musées, orchestres, opéras, théâtres) consacrent en général une part considérable de leur budget à ces institutions, alors que les petites et moyennes communes financent davantage les activités relevant de l’animation culturelle et de l’éveil artistique. La seule garantie d’autonomie est de pouvoir accéder à la plus large pluralité de sources de financement, publiques (différents niveaux de gouvernement, organismes publics) et privées (individus, entreprises, publicités…). L’engagement financier des pouvoirs publics se justifie seulement s’il est destiné à atteindre des objectifs d’utilité sociale bien déterminée (pluralisme culturel, démocratie culturelle, rééquilibrage géographique et social, soutien à l’innovation et à l’expérimentation, protection du patrimoine culturel…). La régulation publique doit permettre de poser certaines règles du jeu et de mieux répartir les sources de financement, entre les investisseurs privés et publics d’une part, entre le pouvoir central et les collectivités territoriales d’autre part. Progressivement, la politique de conservation du patrimoine est intégrée à un projet global de développement (spatial, culturel, social et pédagogique). Cette conception plus large du patrimoine, de ses usages et de ses implications, permet de renforcer les coopérations, tant au niveau des législations qu’au niveau des institutions. Des solutions originales ont été trouvées, notamment par la mise en place d’organes de consultation et de concertation multisectorielle, entre les partenaires concernés par un même projet. L’analyse de la complexité culturelle allemande montre combien il devient nécessaire de renforcer la coordination horizontale, pluridisciplinaire et multisectorielle. Elle implique également une vision complémentaire des champs d’action aux échelles locale, régionale, nationale et européenne. Cette coordination favorise dans le système fédéral allemand un développement de coopérations, d’échanges d’informations et de bonnes pratiques, sur le plan transrégional comme sur le plan national et transnational.En Alemania, las formas de intervención pública son muy diversas (subvenciones puntuales o regulares, legislación a propósito de los derechos de autores, fiscalidad, participación a organismos de derecho privado, etc.). Las mayores ciudades que administran grandes establecimientos culturales (museos, operas, orquestras, teatros), consumen une parte considerable de su presupuesto para estas instituciones, mientras la ciudades pequeñas o de medio tamaño ayudan mas a las actividades relacionadas con la animación cultural. La única garantía de autonomía es el acceso a una pluralidad de fuentes de financiación publica (diferentes niveles de gobierno, organismos públicos) y privada (personas, empresas, publicidad, etc.). El compromiso financiero de los poderes públicos se justifica solo si permite alcanzar propósitos de utilidad social tales como pluralismo cultural, democracia cultural, equilibrio geográfico y social, apoyo a la innovación y la experimentación, protección del patrimonio, etc.). La regulación pública debe permitir que sean fijadas unas normas para repartir los recursos financieros, entre inversores privados y públicos, y entre el gobierno central y las colectividades. Poco a poco, la política de conservación del patrimonio es integrada a un proyecto global de desarrollo (social, pedagógico, cultural, geográfico). Esta concepción del patrimonio, de sus usos y implicaciones, permite reforzar las cooperaciones, al nivel de la legislación y al nivel de las instituciones. Se elaboraron soluciones originales, gracias a organismos de consultación y de concertación, entre socios de un mismo proyecto. El análisis de la complejidad alemana permite ver que se necesita reforzar la coordinación pluridisciplinar y multisectorial. Implica también una visión complementaria de las acciones a los niveles locales, regionales, nacionales y europeos. Tal coordinación favorece en el sistema federal alemán el desarrollo de cooperación, intercambios de informaciones y de modos de hacer, a los niveles transregional, nacional, y transnacional.Charléty Véronique. Politique du patrimoine en Allemagne : un fédéralisme de coopération. In: Culture & Musées, n°9, 2007. pp. 69-98

Le voyage de Louis XIII à Lyon en 1622. Étude sur les relations de Lyon et du pouvoir central au début du XVIIe siècle (1595-1622)

Charléty S. Le voyage de Louis XIII à Lyon en 1622. Étude sur les relations de Lyon et du pouvoir central au début du XVIIe siècle (1595-1622). In: Revue d'histoire moderne et contemporaine, tome 2 N°4,1900. pp. 345-367

M. de Marcère, Le Seize-Mai et la fin du septennat, Paris, 1900

Charléty S. M. de Marcère, Le Seize-Mai et la fin du septennat, Paris, 1900. In: Revue d'histoire moderne et contemporaine, tome 2 N°6,1900. pp. 637-638

Henry Berton, L'évolution constitutionnelle du second Empire (doctrines, textes, histoire), Paris, 1900

Charléty S. Henry Berton, L'évolution constitutionnelle du second Empire (doctrines, textes, histoire), Paris, 1900. In: Revue d'histoire moderne et contemporaine, tome 2 N°1,1900. pp. 90-92