Open AccessPreferred Stock Financing: A Survey Of Trends In The 1980s
Author(s) -
Carol Olson Houston,
Arthur L. Houston
Publication year - 2011
Publication title -
journal of applied business research
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.149
H-Index - 22
eISSN - 2157-8834
pISSN - 0892-7626
DOI - 10.19030/jabr.v7i4.6197
Subject(s) - restructuring , stock (firearms) , convertible , business , stock market , restricted stock , finance , stock market bubble , stock price , geography , engineering , paleontology , structural engineering , biology , context (archaeology) , archaeology , series (stratigraphy)
Following major structural changes in the preferred stock market, a survey was undertaken to determine whether reasons for issuing preferred stock had changed and for what purposes it is now issued. Differences in uses between traditional and new preferred stock are documented. No support is found for the common generalization that convertible preferred stock is issued primarily for merger and acquisition activities. Reasons for issuing preferred stock vary by industry and whether the firm is expanding or restructuring.