(Hot New) Sexy Jav Nurse

In this study, we raise the question of why bidders from high investor protection countries tend to make acquisitions in less protective countries. To answer this question, we use a sample of 462 cross-border and domestic acquisitions by Canadian bidders. Our results reveal that Canadian bidders making cross-border acquisitions outperform those making domestic acquisitions, which contrasts with the findings of studies conducted on US acquirers. This result is especially true when stock is involved in payment, and is robust to different target and deal characteristics. Another major result is that Canadian bidders exploit the high shareholder protection in Canada, to make the foreign target accept stock as a means of payment and avoid at the same time the signaling effect of stock as an overvaluation of the bidder, which is the usually observed effect in domestic acquisitions. This practice allows the bidder to enlarge its investors’ base and enhance the market and investors awareness without being considered as overvalued, which drives a positive effect on the bidder’s stock. Accordingly, we find that the probability of an all-stock payment is positively correlated with the difference in the shareholder protection between the bidder and target countries.