Narrow Your Choices

Refine By Countries

Refine By Topic

Refine By Series

Refine By Language

  • English (1)

Refine By Date

—

Refine By JEL Taxonomy

Refine by LOC Taxonomy

Refine By THEMA Taxonomy

  • Print
  • Save

Browse

You are looking at 1 - 1 of 1 items for :

  • Type: Journal Issue x
  • Financial Institutions and Services: General x
  • Corporate Finance x
  • Business enterprises x
  • Corporate Finance and Governance: Government Policy and Regulation x
  • Refine By Language: English x
Clear All Modify Search
Cover IMF Working Papers
Complex Ownership Structures and Corporate Valuations
Mr. Luc Laeven and Mr. Ross Levine
The bulk of corporate governance theory examines the agency problems that arise from two extreme ownership structures: 100 percent small shareholders or one large, controlling owner combined with small shareholders. In this paper, we question the empirical validity of this dichotomy. In fact, one-third of publicly listed firms in Europe have multiple large owners, and the market value of firms with multiple blockholders differs from firms with a single large owner and from widely-held firms. Moreover, the relationship between corporate valuations and the distribution of cash-flow rights across multiple large owners is consistent with the predictions of recent theoretical models.
Keywords:
WP; cash-flow right; ownership structure; founding firm; cash-flow dispersion; firm c