Josef Bajzík
I collect 1,186 reported estimates of long-run value creation from 49 studies and present the first meta-analysis of the literature on shareholder activism and its effect on firm value in the long run. This synthesis is necessary because shareholder activism is increasing over time and across countries. The study shows that the conclusion as to whether activism is beneficial depends on the benchmark with which the targeted firm is compared. Second, the estimates are also overstated due to publication bias. Third, the value added by activism depends on the country-specific regulatory framework.
JEL codes: G14, G30, G34, L20
Keywords: Abnormal return, event study, long run, meta-analysis, model averaging, publication bias, shareholder activism
Issued: November 2023
Download: CNB WP No. 10/2023 (pdf, 1.4 MB)