Using a new dataset on syndicated loan primary market pricing adjustments, we examine whether relationship banks' information advantage facilitates price discovery in loan issuances. We find that the lead bank makes fewer adjustments to the initial pricing terms of a syndicated loan and shortens...

Using within-loan estimations to remove the impact of the demand side factors, we find that the capital levels of banks participating in the same syndicated loan are positively associated with the banks' contributions to the loan. Consistent with the argument that higher capital reduces the cost...

This paper examines how credit risk spillovers affect corporate financial flexibility. We construct separate empirical proxies to disentangle the two channels of credit risk spillovers—credit risk contagion (CRC), where one firm's default increases the distress likelihood of another; and...