search query: @indexterm capital structure of companies / total: 353
reference: 8 / 353
| Author: | Dewaelheyns, N.(et al.) |
| Title: | Internal capital markets and capital structure: bank versus internal debt |
| Journal: | European Financial Management
2010 : JUN, VOL. 16:3, p. 345-373 |
| Index terms: | internal markets capital markets capital structure of companies debt banks models Belgium costs |
| Freeterms: | debt source concentration ownership structure bi-level data companies characteristics |
| Language: | eng |
| Abstract: | Using bi-level data (i.e. data from both individual subsidiary financial statements and consolidated group level financial statements) to model the bank and internal debt concentration of non-financial Belgian private business group affiliates as a benchmark and constructs a size and industry matched sample of non-group affiliated (stand-alone) companies. The author finds support for a pecking order of internal debt over bank debt at the subsidiary level which leads to a substantially lower bank debt concentration for group affiliates as compared to stand-alone companies. The internal debt concentration of a subsidiary is mainly driven by the characteristics of the group's internal capital market. The larger its available resources, the more intra-group debt is used while bank debt financing at the subsidiary level decreases. etc. |
SCIMA