Filipe Silva Ferreira
Master's – Challenge Accepted: The Impact of Strong Minoritary Shareholder
Advisor: Prof. Dr. Roy Martelanc
Comission: Profs. Drs. Rafael Falcão Noda, Elaine Cristina Borges and Rafael Paschoarelli Veiga
Class: 217, FEA-5
This study analyzes the impact of main corporate governance indicators on the aggressiveness of a company (measured by the number of mergers and acquisitions), the market valuation (the relationship between market value and book value) and on the behavior of professional investors in relation to the company's roles (measured by turning these stocks in the mutual fund portfolios), but offering a new perspective to these analyzes by segregating the companies into three groups: companies with a defined controller (holder of more than 50% of voting shares), with defined controller and challenger (holder of more than 20% of shares) and pulverized companies,. segregating the companies that are objects of research according to its corporate structure separating, thus, companies with controller holding the majority of the voting capital or without this figure.
We used data from Brazilian public companies traded in B3 between 2010 and 2017. The sample had 360 companies in 2,241 observations. The results show that companies with defined controller and challenger and with a high percentage of external members in their board of directors make more mergers and acquisitions and turn less in the funds’ portfolios.
*Abstract provided by the author