Title: The impact of large ownership on capital structure of Vietnamese listed firms

Authors: An Thai; Tri M. Hoang

Addresses: Center for Study and Applied Research in Management (CERAG), University Grenoble Alpes, 621 Avenue Centrale 38400, Saint-Martin-d'Hères, France ' School of Accounting, Finance and Banking, University of Technology (Hutech), 475A Dien Bien Phu Street, Ward 25, Binh Thanh District, Ho Chi Minh City, Vietnam

Abstract: This paper seeks to explore the determinants of the capital structure of Vietnamese listed companies with an emphasis on large ownership based on an updated sample of 261 firms listed on Ho Chi Minh Stock Exchange during the period 2007-2014. Using several estimators, including pooled ordinary least squares, random effects, fixed effects and fixed effects regression with clusters, our empirical results demonstrate that the proportion of blockholders investment is linear and negatively associated with short-term, total book and market leverage. There is no evidence about the non-linear relationship between large ownership and the capital structure of the observed firms.

Keywords: large ownership; blockholders; capital structure; Vietnam.

DOI: 10.1504/AAJFA.2019.096915

Afro-Asian Journal of Finance and Accounting, 2019 Vol.9 No.1, pp.80 - 100

Received: 27 Jul 2017
Accepted: 18 Dec 2017

Published online: 04 Dec 2018 *

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