Why firms issue targeted stock

Journal of Financial Economics

Volumn 56, Issue 3, 2000, Pages 459-483

  D’Souza, Julia ^a   Jacob, John ^b  

^a Dyson School of Applied Economics and Management   (United States)

^b UNIVERSITY OF COLORADO   (United States)

Author keywords

Corporate focus; Corporate structure; Diversification; G32; Ownership structure; Tracking stock

Indexed keywords

EID: 0034196105     PISSN: 0304405X     EISSN: None     Source Type: Journal    
DOI: 10.1016/S0304-405X(00)00047-7     Document Type: Article

References (14)

1. Allen J., McConnell J. Equity carve-outs and managerial discretion. Journal of Finance. 53:1998;163-186.
2. Aron D. Using the capital market as a monitor: corporate spinoffs in an agency framework. Rand Journal of Economics. 22:1991;505-518.
3. Bhushan R. Firm characteristics and analyst following. Journal of Accounting and Economics. 11:1989;255-274.
4. Billett, M., Mauer, D., 1998. Diversification and the value of internal capital markets. Unpublished Working paper, University of Iowa.
5. Corrado C.J. A nonparametric test for abnormal security-price performance in event Studies. Journal of Financial Economics. 23:1989;385-395.
6. Dodd P., Dopuch N., Holthausen R., Leftwich R. Qualified opinions and stock prices. Journal of Accounting and Economics. 6:1984;3-38.
7. Hite G.L., Owers J.E. Security price reactions around corporate spinoff announcements. Journal of Financial Economics. 12:1983;409-436.
8. Miles J.A., Rosenfeld J.D. The effect of voluntary spinoff announcements on shareholder wealth. Journal of Finance. 38:1983;1597-1606.
9. Neter J., Wasserman W., Kutner M. Applied Linear Statistical Models. 1985;Richard D. Irwin, Homewood, Il.
10. Pilotte E. Growth opportunities and the stock price response to new financing. Journal of Business. 65:1992;371-394.
11. Reingold J. Targeted stock is the flavor of the month in corporate america. It won't taste good to everyone. Financial World. 164:1995;32-33.
12. Schipper K., Smith A. Effects of recontracting on shareholder wealth: the case of voluntary spinoffs. Journal of Financial Economics. 12:1983;437-467.
13. Schipper K., Smith A. A comparison of equity carve-outs and seasoned equity offerings: share price effects and corporate restructuring. Journal of Financial Economics. 15:1986;153-186.
14. Zuta, S., 1999. Diversification discount and targeted stock: theory and empirical evidence. Unpublished Working paper. University of Maryland.