Konijn, S., Kraeussl, R. and Lucas, A. (2011). Blockholder dispersion and firm value Journal of Corporate Finance, 17(5):1330--1339.
-
Affiliated author
-
Publication year2011
-
JournalJournal of Corporate Finance
Multiple blockholder structures are a widespread phenomenon in the U.S. The theoretical literature, however, provides conflicting predictions on whether a single large blockholder or a set of dispersed smaller blockholders is better for firm value. Using U.S. data, we find a negative correlation between Tobin's Q and blockholder dispersion. The findings are robust to a wide variety of model specifications and controls and differ from results for other geographic regions such as Europe and Asia. {\textcopyright} 2011 Elsevier B.V.