Learning the wealth effects from equity carve-outs - Rennes School of Business Access content directly
Journal Articles Finance Research Letters Year : 2020

Learning the wealth effects from equity carve-outs

Asad Iqbal Mashwani
  • Function : Author
  • PersonId : 777672
  • IdRef : 192402099
Michael Dowling


We investigate how the market can provide early signals about the eventual effects of an equity carve-out on the wealth of parent firm shareholders. Using a sample of equity carve-outs from 1985–2015, we show that most wealth information regarding the IPO valuation of a subsidiary is observable in the share returns of the parent firm during the book-building period. Our study therefore adds timing and process understanding to existing studies showing a wealth impact of equity carve-outs on parent company shareholders.
Fichier principal
Vignette du fichier
S1544612319302788.pdf (339.53 Ko) Télécharger le fichier
Origin : Files produced by the author(s)

Dates and versions

hal-03004469 , version 1 (22-08-2022)


Attribution - NonCommercial



Asad Iqbal Mashwani, Sébastien Dereeper, Michael Dowling, Saqib Aziz. Learning the wealth effects from equity carve-outs. Finance Research Letters, 2020, 33, pp.101191. ⟨10.1016/j.frl.2019.05.009⟩. ⟨hal-03004469⟩
97 View
50 Download



Gmail Facebook X LinkedIn More