Motives and market reactions to convertible bonds and bonds with warrants issuance in an emerging market
研究了韩国企业发行可转换债券和附认股权证债券的动机差异，发现成长性高、规模大、杠杆高、盈利低、信用评级低、所有权集中的公司更倾向发行可转换债券，且两者公告效应均为正，但可转换债券的累计异常回报更高。
Abstract We examine why Korean firms issue hybrid securities, including convertible bonds and bonds with warrants. In particular, we investigate whether there exist any differences between companies issuing convertible bonds and those issuing bonds with warrants. Our findings show that younger firms with more growth opportunities, larger size, high leverage, low profitability, low credit rating, and low ownership concentrations are likely to issue more hybrid securities rather than straight debt or equity. Also, we find that firms with more growth opportunities, larger size, low profitability, and higher ownership concentrations prefer to issue convertible bonds rather than bonds with warrants. Although we find that the announcement effects of both convertible bonds and bonds with warrants are significantly positive, the cumulative abnormal returns are higher for convertible bonds than for bonds with warrants.