IDEAS home Printed from https://ideas.repec.org/a/taf/apeclt/v33y2026i2p231-236.html

Multiple blockholders and governance through voice: evidence from blockholder board representation

Author

Listed:
  • Ai-Yee Ooi
  • Kian-Ping Lim

Abstract

This study examines the efficacy of governance through voice in an emerging market where managers have limited financial incentives to heed stock price feedback and align their actions with shareholder interests. Using hand-collected data on blockholders serving on corporate boards for all non-financial firms publicly listed in Malaysia from 2002 to 2019, we uncover a U-shaped relationship between blockholder board representation and firm value. Below a certain threshold, blockholder board representation is negatively associated with firm value, reflecting market concerns over these directors’ ability to mitigate agency problems. However, once blockholder presence on the board exceeds this threshold, we observe a positive impact on firm value. This improvement is attributed to the enhanced governance through voice provided by active blockholder-directors.

Suggested Citation

  • Ai-Yee Ooi & Kian-Ping Lim, 2026. "Multiple blockholders and governance through voice: evidence from blockholder board representation," Applied Economics Letters, Taylor & Francis Journals, vol. 33(2), pages 231-236, January.
    • Handle: RePEc:taf:apeclt:v:33:y:2026:i:2:p:231-236
    DOI: 10.1080/13504851.2024.2364013
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/13504851.2024.2364013
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/13504851.2024.2364013?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:apeclt:v:33:y:2026:i:2:p:231-236. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/RAEL20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.