Journal ArticleDOI
Ownership Pattern and Debt Equity Choice of Corporates in India - An Empirical Extension
TLDR
In this article, the authors examined the impact of profitability, asset composition, size, risk and growth opportunities on debt equity choice of Indian manufacturing firms and found that ownership pattern is observed through promoters holding together with other control variables in order to find out the relationship between ownership pattern and leverage of a firm.Abstract:
Prior evidence has documented that there is an association between ownership structure and firm value. This work extends the literature by examining a further link between ownership structure and capital structure. The present work examines the impact of profitability, asset composition, size, risk and growth opportunities on debt equity choice of Indian manufacturing firms. Contrary to the earlier documentation, ownership pattern is observed through promoters holding together with other control variables in order to find out the relationship between ownership pattern and leverage of a firm. The results are differing with the Trade off theory but at the same time agree with the Pecking order theory. Using regression analysis the results were found to be fairly different from the results of the developed countries in various aspects.read more
Citations
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Journal ArticleDOI
An Empirical Analysis of Capital Structure Determinants: Evidence from The Indian Corporate Sector
TL;DR: In this article, the authors make an empirical attempt to study the determinants of capital structure of developing countries through a case of the Indian corporate sector by using a panel data approach, although an exploratory effort, is limited to 298 out of top 500 manufacturing firms selected on the basis of the turnover for the year 2004-2005 which covers the time span of eleven years commencing from 1995-96 to 2005-06.
Journal Article
External and internal ownership concentration and debt decisions in an emerging market: evidence from pakistan
TL;DR: In this paper, the effect of concentration of ownership both external block ownership and managerial share ownership on capital structure decision of Pakistani non-financial firms was examined and the results revealed that ownership variables, insider ownership and external block holders have positive and significant association with leverage.
Dissertation
The value effects of capital structure : essays on leverage and its impact on stock returns
TL;DR: In this paper, the authors investigate the relationship between leverage and stock returns in all risk classes and find that returns increase in leverage which is consistent with the findings of Modigliani and Miller (1958).
Journal ArticleDOI
Impact of Cash Flow Coverage, Debt Service & Current Ratio on Capital Structure Decisions: Empirical Evidence from the Indian Corporate Sector
TL;DR: A case study of Indian corporate sector by classifying the capital structure of 298 out of top 500 private sector manufacturing firms selected on the basis of sales turnover for the year 2004-2005 which covers a time span of eleven years commencing from 1995-96 to 2005-06 by cash flow coverage ratio, debt service ratio and current ratio as mentioned in this paper.
Journal ArticleDOI
Impact of Financial Risk Ratios on Profitability of Multinational vs. Domestic Pharmaceuticals in India
TL;DR: The impact of financial leverage on the profitability position of the business firms under different financing alternatives and with varying levels of overall profitability is one of the most crucial issues in modern finance to sustain continuous improvement in financial performance as mentioned in this paper.
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