BAEK, JAE-SEUNG; KANG, JUN-KOO; LEE, INMOO - In: Journal of Finance 61 (2006) 5, pp. 2415-2449
We examine whether equity-linked private securities offerings are used as a mechanism for tunneling among firms that belong to a Korean chaebol. We find that chaebol issuers involved in intragroup deals set the offering prices to benefit their controlling shareholders. We also find that chaebol...