The choice of external financing source: The role of company size and stock liquidity

IF 16.4 1区化学 Q1 CHEMISTRY, MULTIDISCIPLINARY

Accounts of Chemical Research Pub Date : 2023-08-28 DOI:10.18559/ebr.2023.3.800

Szymon Stereńczak, J. Kubiak

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Abstract

Abstract This paper aims to answer whether firms of different sizes and stock liquidities differ in the choice of external sources of financing in companies listed in CEE countries. To this end the net debt issuance is regressed on the financial deficit. In regressions Pecking Order Coefficients are allowed to vary across firms with different sizes and stock liquidities. The results indicate that companies with less liquid shares prefer issuing debt to cover financial deficits more than companies with more liquid shares. This implies that stock liquidity may substitute debt issuance in alleviating the adverse effects of information asymmetry, especially in relatively small companies. This is the first study in which the relationship between liquidity and debt-equity choice is considered solely from a pecking order theory point of view. Also this is the first study in which stock liquidity effects on capital structure are studied in the CEE countries. Research results may point to the advantages of increasing the liquidity of shares which may contribute to reducing information asymmetry and thus a better allocation of resources.

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外部融资来源的选择:公司规模和股票流动性的作用

摘要本文旨在回答不同规模和股票流动性的企业在中东欧国家上市公司外部融资来源的选择上是否存在差异。为此目的，净债务发行在财政赤字上回归。在回归中，优先顺序系数允许在不同规模和股票流动性的公司之间变化。结果表明，股票流动性较差的公司比股票流动性较好的公司更倾向于发行债券来弥补财务赤字。这意味着股票流动性可以替代债务发行来缓解信息不对称的不利影响，特别是在相对较小的公司。这是第一个研究中，流动性和债务-股权选择之间的关系是考虑单独从啄序理论的观点。此外，这是第一次在中东欧国家研究股票流动性对资本结构的影响。研究结果可能会指出增加股票流动性的优势，这可能有助于减少信息不对称，从而更好地配置资源。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

Accounts of Chemical Research 化学-化学综合

CiteScore

31.40

自引率

1.10%

发文量

312

审稿时长

2 months

期刊介绍： Accounts of Chemical Research presents short, concise and critical articles offering easy-to-read overviews of basic research and applications in all areas of chemistry and biochemistry. These short reviews focus on research from the author’s own laboratory and are designed to teach the reader about a research project. In addition, Accounts of Chemical Research publishes commentaries that give an informed opinion on a current research problem. Special Issues online are devoted to a single topic of unusual activity and significance. Accounts of Chemical Research replaces the traditional article abstract with an article "Conspectus." These entries synopsize the research affording the reader a closer look at the content and significance of an article. Through this provision of a more detailed description of the article contents, the Conspectus enhances the article's discoverability by search engines and the exposure for the research.