This article examines the long-run stock market performance of German and Spanish initial public offerings (IPOs) between 1990 2000. We distinguish family-and nonfamily-owned business IPOs by using power subscale F-PEC. Buy-and-hold-abnormal returns (BHAR) are calculated in order to determine abnormal returns. Our results show that three years after going public, investors, on average, realized an return − 32.8% for 36.7% IPOs. In both countries, nonfamily perform insignificantly better....

This study analyzes the relationship between implementing a Family Constitution (Protocol) and future family business performance. We analyze unique sample of 530 Spanish businesses. Half these firms received financial aid from government to implement Protocol during 2003-2013. The analysis reveals that businesses implemented had significantly improved performance within 2 years after implementation. positive implementation firm is stronger for nonfamily CEO, multiple owners, or were...

This study analyses family versus nonfamily firm returns under different legal environments when a merger and acquisition (M&A) is announced. The database includes 124 M&As of European-listed firms (15 countries), with acquired being worldwide public or private (23 over the 2002 to 2004 period. findings show that ownership has positive significant influence on acquiring shareholder M&A valuation. However, major 32% negative effect. authors also observe weaker institutional...

This study analyses family businesses' growth and internationalisation decisions, examining if being a firm determines differences in these strategies. According to the Resources Capabilities Theory, firms can have limitations for their financial human resources. On other hand, Agency Theory Altruism Perspective establish that altruism drive foreign strategies, facilitating them. Moreover, business generation is one characteristic, specific firms, influence strategic decisions. An empirical...

We analyze growth in family and non-family Spanish venture capital-backed firms. When the capital firm (VC) does not hold a majority stake, usual risk aversion attitudes firms may lead to conflicts between management cultures of existing new shareholders, which affect growth. find lower after initial round only when investor holds minority stake. Our results explain under-representation VC portfolios highlight need align objectives managers investors before round.

The aim of this article is to analyse the determinants decision acquire unlisted rather than listed firms in different legal and institutional environments. We estimate a probit model considering mergers acquisitions (M&As) announced by European (19 countries) that acquires worldwide or (36 period 2002–2007. Our results show managerial opportunism determinant acquisition firms, occurring with greater probability acquiring countries low shareholder minority protection. Information asymmetry...

The aim of this paper is the analysis return and trading volume analysts’ recommendations, taking column Indiscrete from Cinco Días, one most disseminated Spanish financial newspapers, as database in period 1997–1999. results show that market reacts before publication cumulative for buying recommendations being 1.13% −2% sells. volume, number shares, turnover euros trades are greater than average any type also after buy recommendations.

This research examines the effectiveness of Family Constitution or Protocol agreements in mitigating each type agency conflict family firms. We performed a qualitative analysis, through case study, and found that succession process is main driver for implementing this governance mechanism. Our findings also show constitution useful reducing three four conflicts described literature, specifically between owners managers, shareholders, with at large. Key include training experience terms...

The aim of this study was to analyse the determinants reverse takeovers, examining influence target firm shareholders' type in agreement. We examine takeovers implemented Alternative Investment Market between 1999 and 2012, paying special attention differences family non-family firms, as well impact financial crisis.We propose that firms have a lower probability accepting takeover ('shell' firm), avoid both diluting ownership structure (loss control) new shareholders entering their firm. Our...

This paper studies the relevance of acquiring ownership structure and its legal institutional environment on decision to pay for a merger acquisition (M&A) with cash how this influences shareholders’ M&A valuation. At same time, we deal potential endogeneity problem. The results show that influence both choice as payment method valuation, being an endogenous decision. High levels concentration in firm or countries strong environments reduce probability paid M&As provoke higher shareholders...

Spanish Abstract: El objetivo de esta investigación es analizar la influencia implantación del Protocolo Familiar en los resultados (performance) las empresas familiares.