Table 10 The interactive effect of external governance and antitakeover provisions
From: Cash holdings, corporate governance, and acquirer returns
E-index | E-Index × excess cash | Excess cash | Adj.R2 | N | |
|---|---|---|---|---|---|
(1) CEO incentives | |||||
High pension & high competition | −0.050 (−0.22) | −0.194 (−0.99) | 0.057 (0.18) | 0.186 | 647 |
High pension & low competition | −0.029 (−0.16) | 0.006 (0.05) | −0.101 (−0.47) | 0.135 | 680 |
Low pension & high competition | 0.010 (0.03) | −0.206 (−1.10) | −0.548 (−1.60) | 0.147 | 539 |
All three sub-groups | −0.031 (−0.22) | −0.078 (−0.88) | −0.162 (−1.06) | 0.097 | 1,866 |
(2) Board and leadership | |||||
High pension & high competition | −0.114 (−0.48) | −0.202 (−1.01) | 0.096 (0.30) | 0.108 | 647 |
High pension & low competition | −0.009 (−0.05) | 0.017 (0.13) | −0.060 (−0.28) | 0.038 | 680 |
Low pension & high competition | 0.033 (0.10) | −0.259 (−1.34) | −0.445 (−1.23) | 0.031 | 536 |
All three sub-groups | −0.031 (−0.23) | −0.095 (−1.04) | −0.114 (−0.73) | 0.098 | 1,861 |
(3) CARMAR(−2, +2) | |||||
High pension & high competition | −0.072 (−0.30) | −0.225 (−1.18) | 0.124 (0.39) | 0.164 | 647 |
High pension & low competition | −0.021 (−0.11) | 0.024 (0.19) | −0.066 (−0.30) | 0.128 | 680 |
Low pension & high competition | −0.056 (−0.17) | −0.311 (−1.56) | −0.366 (−1.00) | 0.160 | 534 |
All three sub-groups | −0.064 (−0.43) | −0.125 (−1.36) | −0.080 (−0.51) | 0.092 | 1,861 |
(4) block ownership | |||||
High pension & high competition | −0.090 (−0.29) | −0.127 (−0.68) | −0.061 (−0.19) | 0.078 | 617 |
High pension & low competition | −0.139 (−0.58) | −0.052 (−0.32) | 0.300 (1.32) | 0.172 | 648 |
Low pension & high competition | 0.149 (0.53) | −0.144 (−0.76) | 0.660* (−1.92) | 0.174 | 564 |
All three sub-groups | −0.080 (−0.54) | −0.114 (−1.18) | −0.014 (−0.09) | 0.110 | 1,829 |
(5) Sales expenses | |||||
High pension & high competition | −0.305 (−0.97) | −0.214 (−0.92) | −0.076 (−0.23) | 0.162 | 595 |
High pension & low competition | 0.027 (0.11) | 0.038 (0.28) | 0.356 (1.69) | 0.168 | 670 |
Low pension & high competition | −0.349 (−0.920 | 0.026 (0.12) | −0.406 (−1.16) | 0.133 | 535 |
All three sub-groups | −0.205 (−1.30) | −0.128 (−1.25) | 0.044 (0.28) | 0.107 | 1,800 |
(6) G-index | |||||
High pension & high competition | −0.786 (−0.84) | 0.023 (0.03) | 0.037 (0.02) | 0.190 | 647 |
High pension & low competition | 0.221 (0.26) | 0.162 (0.28) | −0.406 (−0.32) | 0.137 | 680 |
Low pension & high competition | −0.638 (−0.49) | −1.021 (−1.28) | 1.743 (0.94) | 0.149 | 534 |
All three sub-groups | −0.756 (−1.26) | −0.053 (−0.14) | −0.026 (−0.00) | 0.10 | 1,861 |
(7) classified boards | |||||
High pension & high competition | 0.412 (0.66) | −0.665 (−1.16) | 0.497 (1.07) | 0.193 | 647 |
High pension & low competition | −0.335 (−0.73) | −0.399 (−1.25) | 0.176 (0.66) | 0.139 | 680 |
Low pension & high competition | 0.488 (0.59) | −0.085 (−0.17) | −0.427 (−0.86) | 0.146 | 534 |
All three sub-groups | 0.109 (0.33) | −0.286 (−1.18) | 0.047 (0.21) | 0.098 | 1,861 |