Impact of Public Announcement of Open Offer on Shareholders Return: An Empirical Test for Efficient Market Hypothesis.

An efficient market is a market where share prices reflect all pertinent information, and so earning consistent abnormal returns in the stock market using publicly available information is not possible. How promptly and correctly the share prices adjust to any announcement or event shows the efficiency of stock markets. This paper tests the efficiency of the Indian stock market by considering open offer as an event, using the market-adjusted abnormal return model, and concludes that markets are not efficient in the semi-strong form. [ABSTRACT FROM AUTHOR]