We investigate whether lead arrangers opportunistically withhold their private information from participant lenders and how this behavior affects the structure of loan syndicates. Using an FDA inspection database assembled through Freedom of Information Act (FOIA) requests, we show that lead...

We document a novel trend in syndicated lending where some participants voluntarily waive their rights to access borrowers’ private information. Although these public-side lenders are unable to use private information to evaluate borrowers’ creditworthiness, forgoing their access to private...