Control Premiums in Merger&Acquisition Deals on Emerging

We consider theory and estimation of the control premiums in mergers and acquisitions as one of the main topics in financial literature. Benefits from control are an actual theme to analyze in business valuation and corporate government as well. The nature of control is explained in details in Mercer’s integral theory of valuation, agency theory and analysis of demand and supply for company stocks. Different factors have an impact on premiums size. Empirical part is devoted to study these factors for BRICS listed companies in the period 1995-2015. During research the following results were obtained using linear regression model: size of target company, payout ratio and payment type are significant determinants for control premiums. The control premium increases if size of the target company and payout ratio grows. Payment by stocks leads to premiums decrease, at the same time payment by cash is directly related to premium size.