Srinivasan Krishnamurthy

TL;DR: In this article, the authors estimate that the average synergy gains in a broad sample of 264 large mergers to be 10.03% of the combined equity value of the merging firms.

TL;DR: In this article, the authors empirically examined the relationship between two audit committee characteristics -expertise and independence and size of the audit committee - and the quality of financial reporting, and found that after controlling for firm size, board composition, a measure of management commitment to transparency (the existence of an ethics program) and institutional ownership, the percentage of audit committee members having expertise in accounting or financial management is positively related to financial reporting quality.

TL;DR: This article study the behavior of short sellers around earnings restatements and find that short sellers accumulate positions in restating firms several months in advance and subsequently unwind these positions after the drop in share price induced by the restatement.

TL;DR: In this article, the authors investigate whether the decline in Andersen's reputation, due to its criminal indictment on March 14, 2002, adversely affected the stock market's perception of its audit quality and found that the indictment period abnormal return is significantly more negative when the market perceived the auditor's independence to be threatened.

TL;DR: In this paper, the authors examine the relation between stock price performance and the identity of the investors buying the shares in private placements of equity and find that although the shareholders not participating in the placement experience post-issue negative long-term abnormal returns, the participating investors purchase the shares at a discount and earn normal returns.