Shareholding control, corporate governance and debt financing of Brazilian companies

• Autores: Isac de Freitas Brandão, Vicente Lima Crisóstomo
• Localización: RBGN: Revista Brasileira de Gestão de Negócios, ISSN 1806-4892, Vol. 26, Nº. 4, 2024, págs. 1-18
• Idioma: inglés
• DOI: 10.7819/rbgn.v26i4.4276
• Enlaces
  • Texto completo (pdf)
• Resumen

  • Purpose – This study investigates the effect of shareholding control and corporate governance on access to debt financing by Brazilian firms.

    Theoretical framework – From the perspective of agency theory, the presence of controlling shareholders can contribute to a preference for debt financing. On the other hand, strengthening the internal corporate governance system can reduce agency conflicts and facilitate access to the credit market.

    Design/methodology/approach – Using mean difference tests and regression analysis, we analyzed the relationship between the debt financing, shareholding control and corporate governance of 168 firms listed on the B3 in the period 2011-2019.

    Findings – Debt financing is related to shareholding control, being higher in firms with majority control and lower in firms with dispersed control. The quality of corporate governance contributes to access to debt, especially in firms with shared control. However, in firms with dispersed control, the relevance of corporate governance is lower.

    Practical & social implications of research – The evidence reiterates the importance of strengthening the internal governance system of Brazilian firms as a way of improving access to the credit market, considering their ownership structure, especially the type of shareholding control.

    Originality/value – The paper shows that shareholding control, as an attribute of the ownership structure and a determinant of agency conflicts, can influence corporate financing decisions and the relationship between the adoption of corporate governance practices and access to debt financing.

• Referencias bibliográficas
  • Aguilera, R. V., & Desender, K. A. (2012). Challenges in the Measuring of Comparative Corporate Governance: A Review of the Main Indices....
  • Aguilera, R. V., Filatotchev, I., Gospel, H., & Jackson, G. (2008). An organizational approach to comparative corporate governance: costs,...
  • Aldamen, H., & Duncan, K. (2012). Does adopting good corporate governance impact the cost of intermediated and non-intermediated debt?...
  • Araújo, J. G., Confessor, K. L. A., Santos, J. F., Oliveira, M. R. G., & Prazeres, R. V. (2017). A estrutura de capital e a governança:...
  • Barnea, A., Haugen, R. A., & Senbet, L. W. (1980). A rationale for debt maturity structure and call provisions in the agency theoretic...
  • Bebchuk, L. A., & Hamdani, A. (2009). The elusive quest for global governance standards. University of Pennsylvania Law Review, 157(5),...
  • Brandão, I. F., & Crisóstomo, V. L. (2023). Configuração do controle acionário, governança corporativa e valor da empresa: uma análise...
  • Brealey, R. A., Myers, S. C., & Allen, F. (2013). Princípios de finanças corporativas. São Paulo: Mcgraw-Hill Interamericana.
  • Bressan, V. G. F., Lima, J. E. D., Bressan, A. A., & Braga, M. J. (2009). Análise dos determinantes do endividamento das empresas de capital...
  • Carvalhal, A. (2012). Do shareholder agreements affect market valuation? Evidence from Brazilian listed firms. Journal of Corporate Finance,...
  • Carvalho, A. G. (2002). Governança corporativa no Brasil em perspectiva. Revista de Administração – RAUSP, 37(3). http://www.spell.org.br/documentos/ver/16656/governanca-corporativa-no-brasil-em-perspectiva/i/pt-br
  • Céspedes, J., González, M., & Molina, C. A. (2010). Ownership and capital structure in Latin America. Journal of Business Research, 63(3),...
  • Claessens, S., & Yurtoglu, B. B. (2013). Corporate governance in emerging markets: A survey. Emerging Markets Review, 15, 1-33. https://doi.org/10.1016/j.ememar.2012.03.002
  • Costa Filho, J. C. B., Viana Junior, D. B. C., Domingos, S. R. M., & Ponte, V. M. R. (2016). Endividamento e qualidade da governança corporativa...
  • Crisóstomo, V. L., & Brandão, I. F. (2019). The ultimate controlling owner and corporate governance in Brazil. Corporate Governance: The...
  • Crisóstomo, V. L., & Pinheiro, B. G. (2015). Estrutura de capital e concentração de propriedade da empresa brasileira. Revista de Finanças...
  • Crisóstomo, V. L., Pinheiro, B. G., & Nakamura, W. T. (2020). Concentração de propriedade e emissão de ação: Evidência da América Latina....
  • Crisóstomo, V. L., Prudêncio, P. A., & Brandão, I. F. (2022). Corporate reputation in Brazil: the effects of the shareholding control...
  • David, M., Nakamura, W. T., & Bastos, D. D. (2009). Estudo dos modelos trade-off e pecking order para as variáveis endividamento e payout...
  • Dedman, E., & Filatotchev, I. (2008). Corporate governance research: a contingency framework. International Journal of Managerial Finance,...
  • Dey, A. (2008). Corporate governance and agency conflicts. Journal of Accounting Research, 46(5), 1143-1181. https://doi.org/10.1111/j.1475-679X.2008.00301.x
  • Dyck, A., & Zingales, L. (2004). Private benefits of control: an international comparison. The Journal of Finance, 59(2), 537-600. https://doi.org/10.1111/j.1540-6261.2004.00642.x
  • Fonseca, C. V. C., & Silveira, R. L. F. (2016). Corporate governance and cost of debt: evidences among Brazilian listed companies. Revista...
  • Fonseca, C. V. C., Silveira, R. L. F., & Hiratuka, C. (2016). A Relação entre a governança corporativa e a estrutura de capital das empresas...
  • Frank, M. Z., & Goyal, V. K. (2008). Trade-off and pecking order theories of debt. In: Eckbo, B. E. (ed). Handbook of Corporate Finance:...
  • Gomes, A., & Novaes, W. (2005). Sharing of control versus monitoring as corporate governance mechanisms. Avaliable at SSRN. https://dx.doi.org/10.2139/ssrn.277111
  • Hausmann, D. C. S., Vogt, M., Hein, N., & Hein, A. K. (2021). Relação entre estrutura de capital e estrutura de propriedade em empresas...
  • Jensen, M. C., & Meckling, W. H. (1976). Theory of the firm: managerial behavior, agency cost and ownership structure. Journal of Financial...
  • Junqueira, L. R., Soares, C. H., Bressan, A. A., & Bertucci, L. A. (2017). Impactos da adesão aos níveis diferenciados de Governança corporativa...
  • Kayhan, A., & Titman, S. (2007). Firms' histories and their capital structures. Journal of Financial Economics, 83(1), 1-32. https://doi.org/10.1016/j.jfineco.2005.10.007
  • Lei, Q., Lin, B., & Wei, M. (2013). Types of agency cost, corporate governance and liquidity. Journal of Accounting and Public Policy,...
  • López-Iturriaga, F. J., & Santana-Martín, D. J. (2015). Do Shareholder Coalitions Modify the Dominant Owner's Control? The Impact...
  • Marques, T. D. Á., Guimarães, T. M., & Peixoto, F. M. (2015). A concentração acionária no Brasil: análise dos impactos no desempenho,...
  • Martins, H. C., Schiehll, E., & Terra, P. R. S. (2017). Country-level governance quality, ownership concentration, and debt maturity:...
  • Nascimento, J. C. H. B., Angotti, M., Macedo, M. A. S., & Bortolon, P. M. (2018). As relações entre governança corporativa, risco e endividamento...
  • Paligorova, T., & Xu, Z. (2012). Complex ownership and capital structure. Journal of Corporate Finance, 18(4), 701-716. https://doi.org/10.1016/j.jcorpfin.2012.05.001
  • Pinheiro, B. G., Vasconcelos, A. C., Luca, M. M. M., & Crisóstomo, V. L. (2017). Estrutura de capital e governança corporativa nas empresas...
  • Porta, R., Lopez-De-Silanes, F., & Shleifer, A. (1999). Corporate Ownership Around the World. The Journal of Finance, 54(2), 471-517....
  • Procianoy, J. L., & Schnorrenberger, A. (2004). A influência da estrutura de controle nas decisões de estrutura de capital das companhias...
  • Renders, A., & Gaeremynck, A. (2012). Corporate governance, principal-principal agency conflicts, and firm value in European listed companies....
  • Ribeiro, F., Atamanczuk, M. J., Gerigk, W., & Biscaia, L. F. (2021). Concentração de propriedade, governança corporativa e estrutura de...
  • Ribeiro, J. E., & Souza, A. A. (2022). A governança corporativa afeta a estrutura de capital? Evidências das empresas listadas na Brasil...
  • Rossetti, J. P., & Andrade, A. (2012). Governança Corporativa: Fundamentos, Desenvolvimento e Tendências. São Paulo: Atlas.
  • Shleifer, A., & Vishny, R. W. (1997). A Survey of Corporate Governance. The Journal of Finance, 52(2), 737-783. https://doi.org/10.1111/j.1540-6261.1997.tb04820.x
  • Silva, A. L. P., Lana, J., & Marcon, R. (2018). Agreeing and Impacting: the effect of the shareholders' agreement on firms' market...
  • Silveira, A. D. M., Perobelli, F. F. C., & Barros, L. A. B. C. (2008). Governança corporativa e os determinantes da estrutura de capital:...
  • Soares, R. O., & Kloeckner, G. D. O. (2008). Endividamento em firmas com alta propensão à expropriação: o caso de firmas com um controlador....
  • Sonza, I. B., Machado, V. N., Lacruz, M. S. P., & Rosa, A. S. (2020). Mapeamento Financeiro das Regiões Brasileiras: Determinantes do...
  • Vieira, K. M., Velasquez, M. D., Losekann, V. L., & Ceretta, P. S. (2011). A influência da governança corporativa no desempenho e na estrutura...
  • Wooldridge, J. M. (2002). Econometric analysis of cross section and panel data. Cambridge: MIT Press.
  • Young, M. N., Peng, M. W., Ahlstrom, D., Bruton, G. D., & Jiang, Y. (2008). Corporate governance in emerging economies: a review of the...
  • Zhu, F. (2014). Corporate governance and the cost of capital: an international study. International Review of Finance, 14(3), 393-429. https://doi.org/10.1111/irfi.12034