NYSE listings and firm borrowing costs: An empirical investigation
Aron A. Gottesman,
John Thornton and
Global Finance Journal, 2010, vol. 21, issue 1, 26-42
This paper examines the relationship between borrowing rates and switching the listing of a firm's stock to the NYSE. Using a sample of syndicated corporate loans, we find that firms switching from either NASDAQ or AMEX to NYSE experience a significant decrease in borrowing rates for revolving loans and pay lower commitment fees for the unused portion of these lines. The results are robust when using a propensity score matching technique to identify non-switching firms that match switching firms along an array of loan and firm specific characteristics. The empirical findings in this paper have implications for the global markets, given the continued consolidation of international equity exchanges.
Keywords: AMEX; NASDAQ; NYSE; listings; Propensity; score; Syndicated; corporate; loans; Listing; requirements (search for similar items in EconPapers)
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
Full text for ScienceDirect subscribers only
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:eee:glofin:v:21:y:2010:i:1:p:26-42
Access Statistics for this article
Global Finance Journal is currently edited by Manuchehr Shahrokhi
More articles in Global Finance Journal from Elsevier
Bibliographic data for series maintained by Haili He ().