Noe, Thomas H.; Rebello, Michael J. - In: Journal of Financial and Quantitative Analysis 38 (2003) 03, pp. 503-521
Our analysis explains how vulture investors (vultures) can maintain and exploit their reputations for toughness. Vultures leverage their reputations to extract concessions from stockholders in debt restructurings. To profit from these concessions, vultures must first acquire debt from incumbent...