Optimal Decision-Making in Chinese Cross-Border Mergers and Acquisitions: A Perspective of Overbidding

Table 8

Difference in premiums and overbidding between SOEs and non-SOEs.

	N	Mean of premium	Difference	T-test (Pr > |t|)
SOEs	92	0.5469	0.163	1.47 (0.1428)
Non-SOEs	254	0.3839
	N	Mean of overbidding	Difference	T-test (Pr > |t|)
SOEs	92	1.5297	−0.2338	3.36 (0.0009)
Non-SOEs	254	1.7635

Note. The premium is the percentage of the transaction deal value over the target’s market value of equity, and overbidding is calculated by −100 multiplied by FOC, assuming the maximization of the bidder’s profits. , , and indicate significance at 1%, 5%, and 10% levels, respectively.