The growing demand for secondary transactions and secondary purchases in the private equity market has emerged as a prominent trend, driven by investors seeking liquidity and access to mature investments with shorter holding periods. Despite the promising nature of secondary transactions, they...

This paper examines contracts and the costs of accessing private markets globally. Contract terms vary by fund region and type. European funds charge lower fees than US funds, but evidence linking regulation to fee compression is weak. Investors’ costs are estimated to be 5% to 26% of...

I study a model of blockholder short-termism, where each blockholder (e.g., activist shareholder) has a stake in a different firm and can sell before the impact of his actions on firm value is realized. I find that the existence of value-destroying blockholders can increase average firm value,...

The authors perform an original research on the fundamentals of winning virtuous strategies creation toward the leveraged buyout transactions implementation during the private equity investment in the conditions of the resonant absorption of discrete information in the diffusion-type financial...

Are private equity investors able to reduce the overall costs of going public? This hypothesis was tested, for the Italian market, on a sample of 155 Ipos (54 Vb and 101 Nvb) during the period 1999-2007. For each company we estimated the direct and indirect costs of listing. The main results are...

As a step towards understanding whether a private equity governance structure reduces overall agency conflicts relative to a public equity governance structure (as is often argued), this paper describes the contracts between private equity funds and investors, and the returns earned by...

This paper addresses the questions whether European mutual fund managers rely on sell-side analyst information and whether this behavior impacts fund performance. Results show that mutual funds significantly increase (decrease) their holdings in stocks when any of the consensus forecast measures...

(VF)Cet article étudie l’incidence des opérations de leveraged buyout (LBO) sur la défaillance des entreprises cibles françaises. Selon la théorie de l’agence, l’augmentation du risque de défaillance, induit par la hausse du niveau d’endettement, doit être compensée par le...

This study examines changes in block ownership for a large sample of listed and non-listed German firms. The frequency of block trading is similar to other countries, and the vast majority of block trades leads to changes in ultimate ownership (control transfers). Such changes are more likely...