Tag: Corporate Finance and Governance
IPO-linked debt-to-equity falls for Indonesian non-financial firms
What the study found Non-financial companies on the Indonesia Stock Exchange generally showed a lower net debt-to-equity ratio (Net DER, a measure of debt relative to equity) after an initial public offering (IPO). The study found a significant decrease in average Net DER, while the median stayed around 0.3. Why the authors say this matters…
Listing changes how policy uncertainty affects R&D investment
Study shows IPOs have dual effects on R&D spending in China: listing encourages investment under policy uncertainty, but political connections gained reduce it.
Political donations are linked to lower cash holdings and investment efficiency
Study of 300 Australian firms reveals political donations correlate with lower cash holdings, higher leverage, and reduced investment efficiency, pointing to agency costs.
Parent support was selective during the 2007–2009 crisis
Banks allocated capital selectively within conglomerates during the 2007–2009 crisis, favoring stronger affiliates while restricting support to weaker ones, challenging regulatory assumptions.
Firms with stronger finances and ESG scores were more likely to leave Russia
Examine how corporate size, financial capacity, and ESG governance drive multinational firms’ divestment decisions from Russia, revealing stakeholder accountability over economic constraints.
Moderate overconfidence is linked to better SME credit access
Non-linear relationship between entrepreneurial confidence and SME financing access: mild overconfidence reduces credit rationing relative to underconfidence and extreme overconfidence.
