Private Equity Characteristics, Corporate Governance and Firm Value: Empirical Evidence from Small and Medium‐sized Enterprises*

Li Jiujin, Rakesh Gupta, Li Haihong and Shao Qiang

Asian Economic Journal, 2020, vol. 34, issue 2, 163-183

Abstract: To extend existing research, this study examines whether private equity (PE) and corporate governance affect firm value using empirical data on the small and medium‐sized boards of listed initial public offering companies in China. The empirical results show that PE investment can raise firm value as well as affect management behavior at the macro level. At the micro level, the greater PE firms' shareholding, the higher is firm value, which is positively influenced by the time the PE stake has been held. PE reputation and foreign PE are also positively related to firm value. Finally, corporate governance plays a partial mediating role in the relationship between PE investment and firm value.

Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://doi.org/10.1111/asej.12207

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:asiaec:v:34:y:2020:i:2:p:163-183

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=1351-3958

Access Statistics for this article

Asian Economic Journal is currently edited by Sung Yun-Wing and Shigeyuki Abe

More articles in Asian Economic Journal from East Asian Economic Association Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().