A theoretical and empirical analysis of the determination of the allocation ratio in standby underwritten rights offerings

dc.contributor.authorMa, Taien
dc.contributor.departmentGeneral Businessen
dc.date.accessioned2019-02-15T21:40:19Zen
dc.date.available2019-02-15T21:40:19Zen
dc.date.issued1982en
dc.description.abstractIn this study the irrelevance school of issue price is challenged and a theoretical model of optimal allocation ratio which explicitly takes into account various costs associated with rights offerings is developed. The empirical results reveal the importance of owners' subscription cost, the issuing firm's dividend policy, as well as the cost of administering share transfers in the determination of allocation ratio. The entirety of these results points, therefore, to the rejection of the irrelevance school of issue price and lend support to the three relevance school theories: the dividend policy cost theory of Levy and Sarnat, the transfer cost hypothesis of Beranek, and the cost of owner subscription hypothesis developed in this study.en
dc.description.degreePh. D.en
dc.format.extentviii, 152, [1] leavesen
dc.format.mimetypeapplication/pdfen
dc.identifier.urihttp://hdl.handle.net/10919/87700en
dc.language.isoen_USen
dc.publisherVirginia Polytechnic Institute and State Universityen
dc.relation.isformatofOCLC# 9022003en
dc.rightsIn Copyrighten
dc.rights.urihttp://rightsstatements.org/vocab/InC/1.0/en
dc.subject.lccLD5655.V856 1982.M325en
dc.subject.lcshStocks -- Pricesen
dc.subject.lcshCorporations -- Financeen
dc.titleA theoretical and empirical analysis of the determination of the allocation ratio in standby underwritten rights offeringsen
dc.typeDissertationen
dc.type.dcmitypeTexten
thesis.degree.grantorVirginia Polytechnic Institute and State Universityen
thesis.degree.leveldoctoralen
thesis.degree.namePh. D.en
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