Please use this identifier to cite or link to this item:
Title: Firm valuation and corporate governance of politically connected firms in Singapore.
Authors: Lee, Sin Wei.
Lee, Yen Wiee.
Ong, Khang Chun.
Keywords: DRNTU::Business::Finance::Financial management
Issue Date: 2007
Abstract: In this paper, we explore the relationship between political connection and firm value of newly listed companies in Singapore from 1997-2002. Using Tobin’s Q as a proxy for firm value, the objective of this paper is to investigate whether there is a significant difference between politically connected firms and those that are not. We find that, in Singapore where corruption is low, political connection does not contribute significantly to firm value. These results are consistent even after we have controlled for firm specific characteristic such as firm size, leverage ratio, profitability, year of listing and industry type. At the end of the report, we also find that corporate governance in Singapore is not an important factor in explaining the variation of firm value in the short run. Robustness checks are performed, showing that a number of alternative political connection variables produce similar results.
Rights: Nanyang Technological University
Fulltext Permission: restricted
Fulltext Availability: With Fulltext
Appears in Collections:NBS Student Reports (FYP/IA/PA/PI)

Files in This Item:
File Description SizeFormat 
  Restricted Access
245.81 kBAdobe PDFView/Open

Google ScholarTM


Items in DR-NTU are protected by copyright, with all rights reserved, unless otherwise indicated.