 Convertible bond issuance volume, capital structure, and firm valueYulu Liao, Paoyu Huang and Yensen Ni The North American Journal of Economics and Finance, 2022, vol. 60, issue C Abstract: We investigate whether convertible bond (CB) issuance volume that causes capital structure change would affect firm value. We focus on either the hand-collected data due to multiple CB issues or diverse CB issuance volume (CB-IV) measures, including CB-IV over debt, equity, and assets. We reveal that the firms with higher CB-IV would enhance firm value, somewhat different from previous findings that CB might not be a cheap financing instrument for raising funds. We infer that because increased CB-IV might not be easily permitted by Taiwan authorities, enterprises might endeavor to exploit profits by using the funds raised by CBs. We argue that, to our understanding, our explored issues are essential for enterprises because they link CB-IV and firm value through the capital structure channel. Given that these issues have rarely been a comprehensive focus, this study may contribute to the existing literature. Keywords: Convertible bonds; Convertible bond issuance volume; Capital structure; Firm value (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:ecofin:v:60:y:2022:i:c:s1062940822000298 DOI: 10.1016/j.najef.2022.101673 Access Statistics for this article The North American Journal of Economics and Finance is currently edited by Hamid Beladi More articles in The North American Journal of Economics and Finance from Elsevier |
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