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- Publisher
- Wiley
- Copyright
- © The Southern Finance Association and the Southwestern Finance Association
- ISSN
- 0270-2592
- eISSN
- 1475-6803
- DOI
- 10.1111/j.1475-6803.1997.tb00246.x
- Publisher site
- See Article on Publisher Site
Abstract
In this paper I explore the determinants of the corporate sell‐off decision of diversified firms during the 1980s. The literature on sell‐offs suggests performance, debt, number of operating segments, and level of ownership by officers and directors may play a role in the decision by firms to sell off assets. Empirical results show the probability of a sell‐off is significantly negatively related to firm performance, significantly positively related to debt, significantly positively related to the number of business segments, and significantly negatively related to the level of officer and director ownership.
Journal
The Journal of Financial Research – Wiley
Published: Jun 1, 1997