Kabir, M.R.; Roosenboom, P.G.J. - Tilburg University, Center for Economic Research - 2000
This paper examines whether the stock market valuation impact of rights issues is consistent with subsequent operating … performance of issuing firms. Analysing a sample of rights issues in the Netherlands, we find that a significant stock price … decline takes place with the announcement of rights issues. We then analyse post-rights issue operating performance and find …