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Junior‐for‐senior announcements

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  • Robert M Hull
  • JuliAnn Mazachek

Abstract

In this paper, we investigate the role of inside ownership in explaining announcement period stock returns for 455 junior‐for‐senior transactions. We find that returns are more negative for firms with higher inside ownership percentages. Returns become even more negative for firms in which insiders are expected to be decreasing their ownership percentages.

Suggested Citation

  • Robert M Hull & JuliAnn Mazachek, 2001. "Junior‐for‐senior announcements," Review of Financial Economics, John Wiley & Sons, vol. 10(3), pages 213-225.
    • Handle: RePEc:wly:revfec:v:10:y:2001:i:3:p:213-225
    DOI: 10.1016/S1058-3300(01)00030-1
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