Journal article
Do Firms Undertake Self‐Tender Offers to Optimize Capital Structure?
The Journal of business (Chicago, Ill.), Vol.75(4), pp.609-639
10/01/2002
DOI: 10.1086/341637
Abstract
This study investigates capital structure around 286 self‐tender offers from 1980 to 1997. Firms that undertake self‐tender offers generally have debt ratios below their predicted levels before the offers. The debt ratios following nondefensive self‐tender offers are close to predicted levels, while the ratios following defensive self‐tender offers are above predicted levels. Further, 20% and 43% of the debt ratings are downgraded following nondefensive and defensive self‐tender offers, respectively. Finally, the increases in debt ratios around the offers are negatively related to the difference from the predicted debt ratio before the offers.
Details
- Title: Subtitle
- Do Firms Undertake Self‐Tender Offers to Optimize Capital Structure?
- Creators
- Erik Lie
- Resource Type
- Journal article
- Publication Details
- The Journal of business (Chicago, Ill.), Vol.75(4), pp.609-639
- Publisher
- The University of Chicago Press
- DOI
- 10.1086/341637
- ISSN
- 0021-9398
- eISSN
- 1537-5374
- Language
- English
- Date published
- 10/01/2002
- Academic Unit
- Finance
- Record Identifier
- 9984380398402771
Metrics
3 Record Views