Actual Share Repurchases, Timing and Corporate Liquidity

Ginglinger, Edith; Hamon, Jacques

doi:10.2139/ssrn.681041

Abstract

References (23)

Citations (23)

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Actual Share Repurchases, Timing and Corporate Liquidity

Université Paris Dauphine - CEREG

January 1, 2005

Journal of Banking and Finance, Vol. 31, No. 3, 2007

Abstract:
Research on the impact of open market share repurchases has been hindered by the lack of data available on actual share repurchases in many countries, including the US. Using a previously unused database containing detailed information on 36,848 repurchases made by 352 French firms, we show that corporate share repurchases have a significant adverse effect on liquidity as measured by bid-ask spread or depth. Our results also indicate that share repurchases largely reflect contrarian trading rather than managerial timing ability.

Number of Pages in PDF File: 39

Keywords: open market share repurchases, timing, liquidity

JEL Classification: G14, G32, G35

working papers series

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Date posted: March 17, 2005 ; Last revised: February 15, 2009

Suggested Citation

Ginglinger, Edith and Hamon, Jacques, Actual Share Repurchases, Timing and Corporate Liquidity (January 1, 2005). Journal of Banking and Finance, Vol. 31, No. 3, 2007. Available at SSRN: http://ssrn.com/abstract=681041 or http://dx.doi.org/10.2139/ssrn.681041

Contact Information

Edith Ginglinger (Contact Author) Université Paris-Dauphine ( email ) Place du Marechal de Lattre Tassigny Paris, 75775 France
Jacques Hamon Université Paris Dauphine - CEREG ( email ) Place du Marechal de Lattre Tassigny Paris France

Abstract

References (23)

Citations (23)

Actual Share Repurchases, Timing and Corporate Liquidity

Edith Ginglinger

Jacques Hamon

Date posted: March 17, 2005 ; Last revised: February 15, 2009

Suggested Citation

Contact Information

Edith Ginglinger (Contact Author)

Jacques Hamon