Hello,

I am doing an event study and posted a question a few days ago, and was able to solve the problem and complete the event study thanks to help from here. However, I need to estimate the market value of the acquiring companies 4 days prior to an acquisition announcement.

I currently have the following datasets:

1) Contains information for all companies ever listed on a particular stock exchange

Code:
* Example generated by -dataex-. To install: ssc install dataex
clear
input str12 company_id int firm str40 securityname float price double sharesissued float(date stockreturn)
"NO0005327270" 1117 "Saga Petroleum B"       79  34083487 13146 .
"NO0003194201" 2272 "Tide"                 92.5    759000 13146 .
"NO0003053605" 1955 "Storebrand"             35 276418702 13146 .
"NO0005418004" 2369 "Skiens Aktiemølle"    220   1132369 13146 .
"NO0003083107" 2218 "Awilco ser. A"          60  17472000 13146 .
"NO0005525808" 2379 "Stentofon"             2.5  42000000 13146 .
"NO0003029803" 2345 "Protector Forsikring"  148   2389014 13146 .
"NO0003049306" 5023 "Selmer"                135   5390299 13146 .
"NO0003200800" 1795 "Havtor"               19.6 182784858 13146 .
"NO0003285009" 2307 "Dual Invest A"          46   7415016 13146 .
end
format %td date
2)Events: contains Dates of m&a announcements, with additional variables, such as isin- number, name of the acquiring company, public status etc. etc. (here i only show the most important variables)

Code:
* Example generated by -dataex-. To install: ssc install dataex
clear
input int event_date str12 company_id str30 Bidder
13529 "NO0004951104" "Rieber & Son ASA"     
13530 "NO0004306408" "Hafslund ASA"         
13545 "NO0003679102" "Blom ASA"             
13549 "NO0003390205" "Smedvig ASA"          
13562 "NO0004822503" "Merkantildata ASA"    
13594 "NO0010031479" "Den Norske Banken ASA"
13605 "NO0003042608" "RingCom ASA"          
13623 "NO0003060303" "Wenaas ASA"           
13640 "NO0004822503" "Merkantildata ASA"    
13642 "NO0005668905" "Tomra Systems ASA"    
end
format %td event_date
I am wondering if someone could help me estimate the market value of the bidders equity (price*shares issued) 4 days prior to the announcement of an m&a and add it to the events dataset

To clarify I want to generate the market value of the bidder 4 days prior to the annoucnement of an m&a and then add this "bidder market value" to my events dataset so that for each event date i also have the bidders market value in the "events" dataset.

If I try to estimate the market value in dataset 1 and then try to

Use dataset2
joinby company_id date, using (dataset1)

But this would probably only get me the market value on the actual date of the annoucnement?


Thanks in advance