Abstract: Combining agency theory and information asymmetry literature this paper examines the controversial relationship between family ownership and the stock market reaction to a divestiture event. We employ a unique dataset of 265 divestiture transactions in West European countries. We reveal that in presence of high information asymmetries the stock market’s positive reaction will be lowered by a higher perception of the risk of opportunistic behaviours that controlling owners may carry out to the detriment of minority shareholders.
INFORMATION ASYMMETRIES, FAMILY OWNERSHIP AND DIVESTITURE FINANCIAL PERFORMANCE: EVIDENCE FROM WESTERN EUROPEAN COUNTRIES / Peruffo, Enzo; Oriani, Raffaele; Alessandra, Perri. - (2011).
Titolo: | INFORMATION ASYMMETRIES, FAMILY OWNERSHIP AND DIVESTITURE FINANCIAL PERFORMANCE: EVIDENCE FROM WESTERN EUROPEAN COUNTRIES | |
Autori: | ||
Data di pubblicazione: | 2011 | |
Citazione: | INFORMATION ASYMMETRIES, FAMILY OWNERSHIP AND DIVESTITURE FINANCIAL PERFORMANCE: EVIDENCE FROM WESTERN EUROPEAN COUNTRIES / Peruffo, Enzo; Oriani, Raffaele; Alessandra, Perri. - (2011). | |
Abstract: | Abstract: Combining agency theory and information asymmetry literature this paper examines the controversial relationship between family ownership and the stock market reaction to a divestiture event. We employ a unique dataset of 265 divestiture transactions in West European countries. We reveal that in presence of high information asymmetries the stock market’s positive reaction will be lowered by a higher perception of the risk of opportunistic behaviours that controlling owners may carry out to the detriment of minority shareholders. | |
Handle: | http://hdl.handle.net/11385/8685 | |
Appare nelle tipologie: | 05.1 - Working Paper |