Title: Green bond issuance and value creation for stockholders: evidence from Italy

Authors: Maria Rita Filocamo; Rubina Michela Galeotti; Raffaele Mattera; Roberto Maglio

Addresses: Department of Economics, Management and Institutions, University of Naples Federico II, Via Vicinale Cupa Cintia, 26, 80126, Naples, NA, Italy ' Department of Business Studies, Roma Tre University, Via Silvio D'amico, 77, 00145, Rome, RM, Italy ' Department of Social and Economic Sciences, Sapienza University of Rome, Piazzale Aldo Moro, 5, 00185, Rome, RM, Italy ' Department of Economics, Management and Institutions, University of Naples Federico II, Via Vicinale Cupa Cintia, 26, 80126, Naples, NA, Italy

Abstract: This paper investigates the value creation for the stockholders through the analysis of the stock Italian market reaction when green bonds are issued in the market. Announcement data for issued green bonds have been hand-collected and the empirical analysis has been conducted with the aim of evaluating the difference in stock returns between green bond issuers and not issuers. Stocks have first been filtered for the market returns by capital asset pricing model (CAPM). Then, a nearest neighbours' approach has been used for matching purposes. Results show that the issuance of green bonds did not affect significantly the remuneration required by stockholders. Our research is directed to academics, practitioners and companies.

Keywords: corporate value creation; green bond; capital asset pricing model; CAPM; matching; sustainability; Italy.

DOI: 10.1504/IJMDM.2025.142931

International Journal of Management and Decision Making, 2025 Vol.24 No.1, pp.19 - 34

Received: 22 Feb 2023
Accepted: 14 Apr 2023
Published online: 02 Dec 2024 *

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