This paper investigates whether joint ventures and strategic alliances create value for bondholders by examining the bond market's reaction to announcements of these two types of cooperative business activities. Based on 2964 announcements from 1985 to 2011, we find that joint ventures and...

This paper examines bondholder wealth effects in global business collaborations with the form of cross-border joint ventures (JV) and strategic alliances (SA). Based on a sample of 1,898 event-firms from 2009 to 2015, we find significant and positive abnormal returns for bondholders. On average,...

For a large sample of U.S. firms from 1994 to 2009, we empirically examine the impact of corporate hedging on the cost of public debt. We find strong evidence that hedging is associated with a lower cost of debt. The negative effect of hedging on the cost of debt is consistent across industries,...