15,310 research outputs found
Earnouts: A Study of Financial Contracting in Acquisition Agreements
We empirically examine earnout contracts, which provide for contingent payments in acquisition agreements. Our analysis reveals considerable heterogeneity in the terms of earnout contracts, i.e. the potential size of the earnout, the performance measure on which the contingent payment is based, the period over which performance is measured, the frequency with which performance is measured, and the form of payment for the earnout. Consistent with the costly contracting hypothesis, we find that the terms of earnout contracts are associated with measures of target valuation uncertainty, target growth opportunities, and the degree of post-acquisition integration between target and acquirer. We conclude that earnouts are structured to minimize the costs of adverse selection and moral hazard in acquisition negotiations.
Do Fairness Opinion Valuations Contain Useful Information?
We analyze target firm valuations disclosed in the fairness opinions of negotiated mergers between 1998 and 2005. On average, acquirer advisors exhibit a greater degree of valuation optimism than do target advisors. Top-tier advisors produce more accurate valuations than lower-tier advisors, but valuation accuracy is unrelated to the contingency structure of advisory fees. The stock price reactions to merger announcements and to the public disclosure of fairness opinions are positively related to the difference between target firm valuations contained in the fairness opinion and the merger offer price. We conclude that fairness opinions contain information not previously available to market participants.
Local field effect as a function of pulse duration
In this note we give semiclassical consideration of the role of pulse
duration in observation of local field effects in the regime of optical
switching. We show that the main parameter governing local field influence is
the ratio of peak Rabi frequency corresponding to medium inversion and Lorentz
frequency of the medium. To obtain significant local field effect, this
parameter should be near unity that is valid only for long enough pulses. We
also discuss the role of relaxation and pulse shape in this processes.Comment: 4 pages, 3 figure
New observations regarding deterministic, time reversible thermostats and Gauss's principle of least constraint
Deterministic thermostats are frequently employed in non-equilibrium
molecular dynamics simulations in order to remove the heat produced
irreversibly over the course of such simulations. The simplest thermostat is
the Gaussian thermostat, which satisfies Gauss's principle of least constraint
and fixes the peculiar kinetic energy. There are of course infinitely many ways
to thermostat systems, e.g. by fixing . In
the present paper we provide, for the first time, convincing arguments as to
why the conventional Gaussian isokinetic thermostat () is unique in this
class. We show that this thermostat minimizes the phase space compression and
is the only thermostat for which the conjugate pairing rule (CPR) holds.
Moreover it is shown that for finite sized systems in the absence of an applied
dissipative field, all other thermostats () perform work on the system
in the same manner as a dissipative field while simultaneously removing the
dissipative heat so generated. All other thermostats () are thus
auto-dissipative. Among all -thermostats, only the Gaussian
thermostat permits an equilibrium state.Comment: 27 pages including 10 figures; submitted for publication Journal of
Chemical Physic
Period Doubling Renormalization for Area-Preserving Maps and Mild Computer Assistance in Contraction Mapping Principle
It has been observed that the famous Feigenbaum-Coullet-Tresser period
doubling universality has a counterpart for area-preserving maps of {\fR}^2.
A renormalization approach has been used in a "hard" computer-assisted proof of
existence of an area-preserving map with orbits of all binary periods in
Eckmann et al (1984). As it is the case with all non-trivial universality
problems in non-dissipative systems in dimensions more than one, no analytic
proof of this period doubling universality exists to date.
In this paper we attempt to reduce computer assistance in the argument, and
present a mild computer aided proof of the analyticity and compactness of the
renormalization operator in a neighborhood of a renormalization fixed point:
that is a proof that does not use generalizations of interval arithmetics to
functional spaces - but rather relies on interval arithmetics on real numbers
only to estimate otherwise explicit expressions. The proof relies on several
instance of the Contraction Mapping Principle, which is, again, verified via
mild computer assistance
Note on the Kaplan-Yorke dimension and linear transport coefficients
A number of relations between the Kaplan-Yorke dimension, phase space
contraction, transport coefficients and the maximal Lyapunov exponents are
given for dissipative thermostatted systems, subject to a small external field
in a nonequilibrium stationary state. A condition for the extensivity of phase
space dimension reduction is given. A new expression for the transport
coefficients in terms of the Kaplan-Yorke dimension is derived. Alternatively,
the Kaplan-Yorke dimension for a dissipative macroscopic system can be
expressed in terms of the transport coefficients of the system. The agreement
with computer simulations for an atomic fluid at small shear rates is very
good.Comment: 12 pages, 5 figures, submitted to J. Stat. Phy
No many-scallop theorem: Collective locomotion of reciprocal swimmers
To achieve propulsion at low Reynolds number, a swimmer must deform in a way
that is not invariant under time-reversal symmetry; this result is known as the
scallop theorem. We show here that there is no many-scallop theorem. We
demonstrate that two active particles undergoing reciprocal deformations can
swim collectively; moreover, polar particles also experience effective
long-range interactions. These results are derived for a minimal dimers model,
and generalized to more complex geometries on the basis of symmetry and scaling
arguments. We explain how such cooperative locomotion can be realized
experimentally by shaking a collection of soft particles with a homogeneous
external field
Fatigue delamination behaviour of unidirectional carbon fibre/epoxy laminates reinforced by Z-Fiber® pinnin
-Pin reinforced carbon-fibre epoxy laminates were tested under Mode I and Mode
II conditions, both quasi-statically and in fatigue. Test procedures were
adapted from existing standard or pre-standard tests. Samples containing 2% and
4% areal densities of carbon-fibre Z-pins (0.28mm diameter) were compared with
unpinned laminates. Quasi-static tests under displacement control yielded a
dramatic increase of the apparent delamination resistance. Specimens with 2% pin
density failed in Mode I at loads 170N, equivalent to an apparent GIC of 2kJ/m2.
Fatigue testing under load control showed that the presence of the through-
thickness reinforcement slowed down fatigue delamination propagation
Enhanced heat transport by turbulent two-phase Rayleigh-B\'enard convection
We report measurements of turbulent heat-transport in samples of ethane
(CH) heated from below while the applied temperature difference straddled the liquid-vapor co-existance curve . When the sample
top temperature decreased below , droplet condensation occurred
and the latent heat of vaporization provided an additional heat-transport
mechanism.The effective conductivity increased linearly with
decreasing , and reached a maximum value that was an
order of magnitude larger than the single-phase . As
approached the critical pressure, increased dramatically even
though vanished. We attribute this phenomenon to an enhanced
droplet-nucleation rate as the critical point is approached.Comment: 4 gages, 6 figure
Density-matrix functionals for pairing in mesoscopic superconductors
A functional theory based on single-particle occupation numbers is developed
for pairing. This functional, that generalizes the BCS approach, directly
incorporates corrections due to particle number conservation. The functional is
benchmarked with the pairing Hamiltonian and reproduces perfectly the energy
for any particle number and coupling.Comment: 4 pages, 4 figures, revised versio
- …