出版品

楊雅薇  輔仁大學金融與國際企業學系助理教授

徐玉玲  永豐證券投資顧問股份有限公司

 

ABSTRACT

We present a model to explain the relationship between wealth expropriation by the controlling shareholder and the probability for a company falling into financial distress. Under a concentrated ownership environment, controlling shareholders may have motivations to expropriate wealth from the minority shareholders. Owing to the expected rents from expropriation, they are unwilling to purposely drive the company into financial distress. According to our model, without considering the influence of the amount of expropriation on the profitability of a firm, a controlling shareholder may overestimate his/her optimal amount of embezzlement and unintentionally drive the firm into financial distress.