We study the pricing of reverse convertible bonds. These are bonds that carry high coupon payments. In exchange, the issuer has an option at the maturity date to either redeem the bonds in cash, or to deliver a pre-specified number of shares. We find that Dutch plain vanilla and knock-in reverse...

This paper discusses the importance of the pricing factors and multi-factor asset pricing models in the relative valuation approach in corporate valuation. We examine the valuation performance of multiples estimated in regressions with pricing factor variables, and we compare it to the...