南方科技大学知识苑(SUSTech KC): The timing of debt renegotiation and its implications for irreversible investment and capital structure

题名	The timing of debt renegotiation and its implications for irreversible investment and capital structure
作者	Yang，Zhaojun; Zhu，Nanhui
通讯作者	Zhu，Nanhui
发表日期	2023
DOI	10.1080/14697688.2023.2186260
发表期刊	Quantitative Finance 影响因子和分区
ISSN	1469-7688
EISSN	1469-7696
卷号	23 期号:5页码:887-900
摘要	This paper analyzes the impact of a single round of debt renegotiation on investment and financing decisions. We produce an analytical proof for the widely-used assertion that optimal renegotiation time is common default time. We show that debt renegotiation accelerates investment and increases the investment option value by around 15%. Renegotiation surplus increases with project risk but decreases with sunk cost. Investment option value has an inverted U-shaped link with debtholders' bargaining power. If tax rate is moderate, optimal leverage with renegotiation is greater than that without renegotiation but if it is sufficiently high, the opposite holds true.
关键词	Capital structure Investment options Permanent coupon deduction Timing of debt renegotiation
相关链接	[Scopus记录]
收录类别	SCI ; SSCI
语种	英语
学校署名	第一 ; 通讯
资助项目	National Natural Science Foundation of China[72031003] ; Philosophy and Social Science Plan Project of Shenzhen[SZ2022D017] ; Special Funds for the Cultivation of Guangdong College Students' Scientific and Technological Innovation ['Climbing Program' Special Funds][pdjh2022c0063]
WOS研究方向	Business & Economics ; Mathematics ; Mathematical Methods In Social Sciences
WOS类目	Business, Finance ; Economics ; Mathematics, Interdisciplinary Applications ; Social Sciences, Mathematical Methods
WOS记录号	WOS:000950210900001
出版者	ROUTLEDGE JOURNALS, TAYLOR & FRANCIS LTD
ESI学科分类	ECONOMICS BUSINESS
Scopus记录号	2-s2.0-85159684006
来源库	Scopus
引用统计	被引频次[WOS]：2
成果类型	期刊论文
条目标识符	http://sustech.caswiz.com/handle/2SGJ60CL/536762
专题	商学院_金融系
作者单位	Department of Finance,Southern University of Science and Technology,Shenzhen,518055,China
第一作者单位	金融系
通讯作者单位	金融系
第一作者的第一单位	金融系
推荐引用方式 GB/T 7714	Yang，Zhaojun,Zhu，Nanhui. The timing of debt renegotiation and its implications for irreversible investment and capital structure[J]. Quantitative Finance,2023,23(5):887-900.
APA	Yang，Zhaojun,&Zhu，Nanhui.(2023).The timing of debt renegotiation and its implications for irreversible investment and capital structure.Quantitative Finance,23(5),887-900.
MLA	Yang，Zhaojun,et al."The timing of debt renegotiation and its implications for irreversible investment and capital structure".Quantitative Finance 23.5(2023):887-900.