IDEAS home Printed from
MyIDEAS: Login to save this paper or follow this series

Ownership Structure and Asset Sales: An Empirical Analysis

  • Michael J. Bennett

    (Department of Management, Curry College, Milton, MA)

Registered author(s):

    This paper examines the effect of ownership structure on the market assessment of asset sales. Three types of ownership structures are identified: large block outside, inside, and widely held. Empirical results indicate that firms with large block outside shareholders experience significantly positive announcement effects for both buying and selling firm samples. These are significantly greater than those for the inside shareholder and large widely held firms. Two other questions are examined. For the second question, the sample is partitioned in a pair wise way to see if the ownership structure of the firm being transacted with has an effect. Results suggest that the ownership structure of the firm on the other side of the deal does have an effect The third question examines whether ownership has an effect in the presence of other types of information, specifically, the release of the price paid for the asset. In the presence of an ownership variable, the disclosure of price does not have an effect on the market's reaction to the asset sale.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL:
    File Function: First version 2004
    Download Restriction: no

    Paper provided by Queen's University, Department of Economics in its series Working Papers with number 1021.

    in new window

    Length: 101 pages
    Date of creation: Jul 2004
    Date of revision:
    Handle: RePEc:qed:wpaper:1021
    Contact details of provider: Postal: Kingston, Ontario, K7L 3N6
    Phone: (613) 533-2250
    Fax: (613) 533-6668
    Web page:

    More information through EDIRC

    No references listed on IDEAS
    You can help add them by filling out this form.

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:qed:wpaper:1021. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Babcock)

    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.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with 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 profile, as there may be some citations waiting for confirmation.

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

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.