Date of Award
Ph.D. in Business Administration
We explore the bond “clustering” phenomenon, using a sample of bond issuances in 2000-2015. Bond “clustering” is when the number of bonds issued that year exceeds three standard deviations above the mean number of issues for the firm over the sample period. We examine why firms opt for multiple issuances instead of a large one: exhaustion of debt capacity, refunding existing debt, timing favorable market conditions, managing working capital or financing profitable investment opportunities. Results indicate that firms do not cluster due to simply refinancing outstanding debt, but in order to manage their liquidity position and short-tern cash needs, to take advantage of the low interest rates, and to finance profitable investment.
Davydenko, Violetta Y., "Three Essays on Corporate Bonds Issuance and Trading" (2019). Electronic Theses and Dissertations. 1650.