Publications

Article

The Role of Lockups in Initial Public Offerings

By: Alon Brav and Paul A. Gompers

In a sample of 2,794 initial public offerings (IPOs), we test three potential explanations for the existence of IPO lockups: lockups serve as (i) a signal of firm quality, (ii) a commitment device to alleviate moral hazard problems, or (iii) a mechanism for... View Details

Keywords: Initial Public Offering; Quality; Moral Sensibility; Compensation and Benefits; Venture Capital; Problems and Challenges; Stock Shares; Going Public

February 2003 (Revised May 2003)
Case

Mobile Energy Services Company

By: Benjamin C. Esty and Aldo Sesia

When Al "Chainsaw" Dunlap became CEO of the Scott Paper Co., the company owned a large, vertically integrated production facility in Mobile, Alabama. Dunlap sold part of the production facility, a cogeneration power plant (later known as Mobile Energy Services Co.), to... View Details

Keywords: Mergers and Acquisitions; Risk and Uncertainty; Contracts; Agreements and Arrangements; Investment; Projects; Vertical Integration; Energy Sources; Bonds; Ownership; Restructuring; Energy Industry; Alabama

February 2003
Teaching Note

Mobile Energy Services Company (TN)

By: Benjamin C. Esty and Aldo Sesia

Teaching Note for (9-203-061). View Details

Keywords: Energy Industry; Alabama

Article

Corporate Governance and Equity Prices

By: Paul A. Gompers, Joy L. Ishii and Andrew Metrick

Keywords: Corporate Governance; Equity; Price

January 2003
Teaching Note

Australia-Japan Cable: Structuring the Project Company (TN)

By: Benjamin C. Esty and Carrie Ferman

Teaching Note for (9-203-029). View Details

Keywords: Telecommunications Industry; Australia; Japan

January 2003 (Revised September 2005)
Teaching Note

Stone Container Corporation (A) (TN)

By: W. Carl Kester

Teaching Note for (9-297-047). View Details

January 11, 2003
Article

Remote Control Tax

By: Mihir A. Desai

Keywords: Taxation

January 2003
Case

Exchange Rate Policy at the Monetary Authority of Singapore

By: Mihir A. Desai and Mark Veblen

The Monetary Authority of Singapore (MAS) is responsible for the country's monetary policy, and its decisions are intended to support the country's overall strategy for sustainable economic growth with price stability. MAS has been very successful in managing exchange... View Details

Keywords: Currency Exchange Rate; Policy; Money; Singapore

January 2003
Article

A Multivariate Model of Strategic Asset Allocation

By: Luis M. Viceira, John Y. Campbell and Y. Lewis Chan

Keywords: Assets; Resource Allocation

2003
Chapter

Equity Financing

By: Paul Gompers and Joshua Lerner

Equity financing for entrepreneurial firms has attracted increasing attention in both the popular press and academic literature. The dramatic growth in the venture capital industry in the past two decades has been accompanied by new academic research that explores... View Details

Keywords: Angel Investors; Financing and Loans; Equity; Venture Capital; Business Startups

2003
Working Paper

Market Discipline in the Thrift Industry and the Cost of Deposit Insurance

By: Benjamin C. Esty and C. Y. Baldwin

2003
Case

Project Finance Portal

By: B. C. Esty

Keywords: Finance

2003
Chapter

Short-Term America Revisited? Boom and Bust in the Venture Capital Industry and the Impact on Innovation

By: Josh Lerner and Paul A. Gompers

This chapter seeks to understand the implications of the recent decline in venture activity for innovation. It argues that the situation may not be as grim as it initially appears. While there are many reasons for believing that on average venture capital has a... View Details

Keywords: Venture Capital; Innovation and Invention; Business Cycles; Financial Services Industry; United States

2003
Article

The Divergence Between Book and Tax Income

By: Mihir A. Desai

Keywords: Taxation

2003
Mimeo

The Economic Motivations for Using Project Finance

By: Benjamin C. Esty

Keywords: Financing and Loans; Motivation and Incentives

December 2002 (Revised January 2004)
Background Note

Note on Credit Markets

By: Joshua D. Coval, Peter Tufano and Ivo Welch

Covers various aspects of credit markets, including discounting and pricing, team structure, and default. View Details

Keywords: Financial Markets; Marketing Strategy; Price; Groups and Teams; Organizational Structure; Credit

December 2002 (Revised October 2013)
Case

Williams, 2002

By: Joshua Coval, Robin Greenwood and Peter Tufano

Williams, a Tulsa, Oklahoma-based firm in various energy businesses, must decide whether to accept a financing package offered by Berkshire Hathaway and Lehman Brothers. The proposed one-year credit facility would provide the firm with financial resources in a... View Details

Keywords: Financial Management; Crisis Management; Credit; Capital Structure; Financial Strategy; Financing and Loans; Financial Instruments; Energy Industry; United States

December 2002 (Revised January 2004)
Case

Basel II: Assessing the Default and Loss Characteristics of Project Finance Loans (A)

By: Benjamin C. Esty and Aldo Sesia

In June 1999, the Basel Committee on Banking Supervision announced plans to revise the capital standards for banks. The Basel Committee believed that project loans were significantly riskier than corporate loans and, therefore, warranted higher capital charges under... View Details

Keywords: Risk and Uncertainty; Project Finance; Financing and Loans; Projects; Standards; Banks and Banking; Banking Industry

December 2002 (Revised June 2003)
Teaching Note

Basel II: Assessing the Default and Loss Characteristics of Project Finance Loans (TN)

By: Benjamin C. Esty and Aldo Sesia

Teaching Note for (9-203-035). View Details

Keywords: Project Finance; Financing and Loans