| Summary: | 碩士 === 國立中興大學 === 財務金融學系所 === 106 === This study discusses the factors affecting leveraged buyout premium, and the relationship between earnings management and premium. This study works on this topic by answering three questions concerning leveraged buyout premium (1) What factors that affect the company''s earnings management? (2) What factors that affect leveraged buyout premiums? and (3)The relationship between premium and transaction price. These three themes allow us to understand the timing and motivation of the target firm’s earnings management, and find the meanings of company''s react to the acquisition.
We find that if the company manages earnings prior to the LBO announcement, the LBO premium will be reduced.Besides in terms of earnings management, we also find that if the LBO case involves management, it is easier to manage earnings. Then we researched from the transaction value and found that MBO''s earnings management motivation comes from the management''s pursuit of their own interests.
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