...Vicky John; Olivia Simadibrata Widjaja; Shierly Elizabeth; Rita Juliana Purpose This study explores the effect of environmental, social and governance (ESG) performance on firms' capital structure decisions under sustainability uncertainty in the Asian market. This study aims to explore whether...

...Renee M. Oyotode-Adebile Purpose Using data from 62 countries, I present empirical evidence of the impact of societal trust on the capital structure for microfinance institutions. Design/methodology/approach The study uses fixed-effect models, instrumental variable analysis, propensity score...

...Vivien Lefebvre Purpose Building on the pecking order theory of capital structure and financial flexibility arguments, this paper examines the relationship between a firm’s investment horizon and capital structure. The firm’s investment horizon is viewed as a measure of the firm’s temporal...

... on the observation that only a limited number of firms make use of debt while the majority, have no leverage, that is, no debt in their capital structure. Design/methodology/approach The probit methodology is used in this study to investigate factors associated with positive amounts of debt based...

...Pranshu Tripathi; Anil K. Sharma Purpose The study aims to investigate whether capital structure decisions in pure financially distressed firms differ from those in pure economically distressed firms in the stronger creditor regime. The study uses India’s Insolvency and Bankruptcy Code, 2016...

... Licensed re-use rights only Corporate finance Capital structure Sustainable finance The remainder of this paper is organized as follows. Section 2 provides motivation for our study, Section 3 discusses our research design, Section 4 presents and discusses our results, and Section 5...

... cause adverse selection when these firms seek to raise additional capital for new investments in later stages. Using this framework, we investigate the optimal capital structure of firms that can mitigate the adverse selection that is expected to arise in the future. Findings We find that each...

... lead to avoidance of debt financing and reliance on less risky sources of funding, such as equity financing (Anderson and Reeb, 2003 ; Gonzalez et al., 2013). Consistent with agency thought, the trade-off theory of capital structure postulates that the trade-offs between the tax benefits...

...Marco Botta Purpose We expand the recent literature on the dynamics of capital structure decisions by investigating the impact of national culture on firms' optimal debt ratios and their dynamic re-adjustment process. To this end, we aim at estimating firm-specific speeds of leverage adjustment...

...Rishi Kapoor Ronoowah; Boopen Seetanah Purpose The purpose of this study is to examine the linear and non-linear relationship between capital structure (CS) and firm performance (FP) and the moderating and mediating roles of agency costs in the CS-FP nexus. Design/methodology/approach...

...Alex Meisami; Sung-Jin Park; Mohammad Meysami Purpose We conducted this study to examine the relationship between revenue concentration and a firm's financial leverage. We aimed to analyze whether revenue concentration influences a firm's capital structure decisions and whether this relationship...

...Jayalakshmy Ramachandran; Joan Hidajat; Selma Izadi; Andrew Saw Tek Wei Purpose This study investigates the influence of corporate income tax on two corporate financial decisions — dividend and capital structure policies, particularly for Shariah compliant companies in Malaysia. Design...

...Sharier Azim Khan Purpose In this paper, the author examines how capital structure (relative to target) affects firm innovation. Design/methodology/approach The author uses cross-sectional OLS regressions (for each year of data) to determine whether a firm is above or below its target debt...

... that the modified VAIC explains changes in shareholders' MV. In addition, findings indicate that modified VAIC serves as an additional intangible factor to explain firms' capital structure decisions. Practical implications The findings have important implications for management, owners, researchers...

... compared to non-family firms. The authors also examine the previously unexplored impact of ownership concentration on the ZL question. With such a significant number and proportion of firms being debt-free, the ZL policy is one of the most enduring puzzles in capital structure literature, especially...

...Rishi Kapoor Ronoowah; Boopen Seetanah Purpose This study aims to focus on the direct, mediating and moderating effects of corporate governance (CG) and capital structure (CS) in their relationships with firm performance (FP). Design/methodology/approach Multivariate panel data regression...

... investment. The lack of extensive studies in this domain motivates the authors to delve into the significance of financial flexibility in making corporate capital structure decisions. Design/methodology/approach The data comprise a combination of firm-specific and macroeconomic variables for firms...

...Tarek Miloud Purpose The purpose of this paper is to test the validity of dynamic tradeoff theory and argue that the speed of adjustment toward the target capital structure may vary depending primarily on some inherent firm characteristics. Design/methodology/approach The objective...

... of information asymmetry as a key determinant of the security issue decision is widely accepted (Sony and Bhaduri, 2018 ; Gao and Zhu, 2015 ; Leary and Roberts, 2010 ; Bharat et al., 2009 ; Chang et al., 2006 ; Klein et al., 2002). Capital structure Emerging markets...

...Barnali Chaklader; B. Padmapriya Purpose Building on pecking order theory, this study seeks to understand the various financial factors that influence top management's decision regarding the company’s capital structure. The authors attempt to understand and analyse whether the capital structure...