Similar Search Results

Predicting financial distress through ownership pattern : dynamics of financial resilience of Bangladesh

Alam, Shafiqul; Das, Sumon Kumar; Dipa, Umma Rumman; … - In: Future business journal 10 (2024) 1, pp. 1-19

In light of agency and resource dependence theories, we explored the impact of ownership patterns on the likelihood of financial distress using 57 financial institutions (FIs) listed in Dhaka Stock Exchange and 390 firm years from 2016 to 2022. This study observed that 97.94% of the firms are in...

Persistent link: https://www.econbiz.de/10015410712

Determinants of acquisition and failure : stylized facts and lessons for empirical studies

Köke, F. Jens - 2001

This study provides new stylized facts on the determinants of corporate failure and acquisition in Germany. It also offers important lessons for the design of empirical studies. We show that firms experiencing failure or acquisition are significantly different from surviving firms on a number of...

Persistent link: https://www.econbiz.de/10011446202

Ownership Structure, Revenue Diversification and Insolvency Risk in European Banks

Sanya, Sarah - 2011

, an insight into how the ownership structure of a bank affects investment decisions, performance and ultimately insolvency … risk - the focus of this paper - is crucial. Our results show revenue diversification reduces insolvency risk in banks with … the impact of the latter on insolvency risk in banks. The results also have important policy implications for regulators …

Persistent link: https://www.econbiz.de/10013128385

Large Shareholders and Financial Distress

Opp, Christian C. - 2019

I examine large shareholders' externalities on other claim holders when firms are financially distressed. To this end, I develop a tractable dynamic model of the interplay between these blockholders and regular equity holders. Blockholders' information acquisition and investment decisions play a...

Persistent link: https://www.econbiz.de/10012891364

Private Equity and the Resolution of Financial Distress

Hotchkiss, Edith - 2020

We examine the role private equity (PE) firms play in the resolution of financial distress using a sample of 2,151 firms that borrow in the leveraged loan market between 1997 and 2010. Controlling for leverage, PE-backed firms are no more likely to default than other leveraged loan borrowers....

Persistent link: https://www.econbiz.de/10012857451

Firm Leverage and Bankruptcy Regimes : Does Ownership of Lenders Matter?

Jose, Jibin; Borad, Abhinandan - 2022

In this paper, we ask how firms’ optimal debt structure responds to a change in the bankruptcy regime. While existing work shows that this relationship is dependent on the ex-ante liquidation value of a firm, we demonstrate that the ownership of lenders they are connected to also matters. We...

Persistent link: https://www.econbiz.de/10013301190

Equity Issuance of Distressed Firms

Park, James - 2015

Assuming benevolent managers, the debt-overhang problem suggests that distressed firms generally refrain from issuing equity. In contrast, agency theory predicts that distressed firm managers have strong self-interests to finance even deteriorating projects through equity issuance. This paper...

Persistent link: https://www.econbiz.de/10013038070

Common Ownership and Bankruptcy

Anderson, Ronald C.; Durrani, Farooq; John, Kose - 2021

Distressed firms and the banks that lend to these firms often have conflicting interests when going through the Chapter 11 process, freefall bankruptcy vs prepack bankruptcy. We examine whether common ownership, i.e., an institution with holdings in both the borrowing and the lending firms,...

Persistent link: https://www.econbiz.de/10013212649

Determinants of acquisition and failure : stylized facts and lessons for empirical studies

Köke, F. Jens - 2001

Persistent link: https://www.econbiz.de/10013428411

Insider ownership and default risk : what does the data reveal about Japanese firms?

Haque, Humaira; Kabir, Md. Nurul; Abedin, Syeda Humayra; … - In: China Accounting and Finance Review 26 (2024) 3, pp. 354-384

Purpose The ownership structure in Japanese firms has experienced a significant change recently, fueled primarily by regulatory changes. This has important repercussions on corporate performance and risk. This paper examines the impact of insider ownership on the default risk of Japanese firms....

Persistent link: https://www.econbiz.de/10014636984