This paper examines the role of repeat interactions between placement agents (investment banks) and investors in the initial pricing of convertible bonds. Under the assumption that attracting repeat investors can reduce search frictions in primary issue markets, we test the hypothesis that...

We review the literature on wealth effects associated with the announcements of convertible bond and warrant-bond offerings. The findings of 35 event studies, which include 84 sub-samples and 6,310 announcements, are analysed using meta-analysis. We find a mean cumulative abnormal return of...

The idea of regulating public offering of securities typically brings to mind the Disclosure and Investor Protection Guidelines, 2000 (DIPG) of the Securities and Exchange Board of India. In addition to the DIPG which governs the conduct of Indian issuers, there are distinct laws governing the...

We examine the influence of corporate governance quality on firms' choice between convertible debt, straight debt, and equity. Using a Western European sample of security offerings made between 2000 and 2010, we find that weaker firm-specific and country-specific corporate governance quality...

The purpose of this paper is to analyze the long-run operating performance of French convertible bonds (CB) issuers.Our results reveal that firms issuing convertible bonds under-perform substantially non-issuing firms from pre to post-issue periods. Our findings are robust with respect to the...