Seize the moment: opportunism in Australian capital markets
This paper examines theories of capital structure using a dataset of listed Australian companies from 1993 to 2005. Companies appear to have target leverage but they take advantage of favorable firm characteristics to achieve these targets. Issuers issue debt when they are profitable. When firms are...
| Main Authors: | , , |
|---|---|
| Format: | Journal Article |
| Published: |
Elsevier BV
2011
|
| Subjects: | |
| Online Access: | http://hdl.handle.net/20.500.11937/15226 |
| Summary: | This paper examines theories of capital structure using a dataset of listed Australian companies from 1993 to 2005. Companies appear to have target leverage but they take advantage of favorable firm characteristics to achieve these targets. Issuers issue debt when they are profitable. When firms are profitable and perform well in the market, they will issue both debt and equity. |
|---|