Note(s): t-values are reported in parentheses. *, ** and *** indicate significance at the 10%, 5% and 1% levels, respectively. All regressions control for firm characteristics, year-fixed effects and industry-fixed effects. “PSM” denotes Propensity Score Matching; “Heckman two-stage” refers to the Heckman two-stage method; “lagged one-stage” indicates regressions using the lagged value of external blockholder exit threat. IMR represents the inverse Mills ratio. Variable definitions are provided in Table 1