Showing 1 - 10 of 3,970
We allow the preference of a political majority to determine boththe corporate governance structure and the division of profits betweenhuman and financial capital. In a democratic society where financialwealth is concentrated, a political majority may prefer to restraingovernance by dispersed...
Persistent link: https://www.econbiz.de/10010325240
dynamics of bank relationships after corporate acquisitions and the effects of changing banks on firm performance. Foreign …
Persistent link: https://www.econbiz.de/10012797240
value of global diversification.Based on a sample of 1,491 completed cross-border mergers and acquisitions (M&As) conducted …
Persistent link: https://www.econbiz.de/10012147980
In this paper we challenge the view that corporate bonds are always arm's length debt. We analyze the effect of bond ratings on the stock price return to acquirers in M&A transactions, which tend to have significant effects on creditor wealth. We find acquirers abnormal returns to be higher if...
Persistent link: https://www.econbiz.de/10010308570
Private equity owned firms have more leverage, more intense compensation contracts, and higher productivity than comparable firms. We develop a theory of buyouts in oligopolistic markets that explains these facts. Private equity firms are more aggressive in inducing restructuring compared to...
Persistent link: https://www.econbiz.de/10010320382
, we find that the industry distribution is significantly different for failure and acquisitions. This calls for some kind …
Persistent link: https://www.econbiz.de/10010297767
One of the key processes that business leaders are using to grow their organizations is mergers and acquisitions (M …
Persistent link: https://www.econbiz.de/10012289416
We study the bond price reaction of a merged firms peers, in order to better understand how the market responds to a restructuring. We argue that a merger announcement may signal the possibility of a merger wave to the industry, and in doing so, increase the conditional probability that peer...
Persistent link: https://www.econbiz.de/10012611762
Agency problems in firms are known to influence suboptimal capital investment decisions. Using panel data of publicly listed firms in India, we find evidence that increased insider ownership is associated with lower investment efficiency, i.e. as insider ownership increases, firms show tendency...
Persistent link: https://www.econbiz.de/10014284473
Business groups in emerging markets perform better than unaffiliated firms. One explanation is that business groups substitute some functions of missing institutions, for example, enforcing contracts. We investigate this by setting up a model where firms within the business group are connected...
Persistent link: https://www.econbiz.de/10010263949