Finansowanie działalności spółek deweloperskich za pomocą obligacji zamiennych na przykładzie polskiego rynku nieruchomości
Financing the Operations of Development Companies Using Convertible Bonds on the Example of the Polish Real Estate Market
Author(s): Damian KaźmierczakSubject(s): Business Economy / Management, Economic history, Rural and urban sociology, Financial Markets, Public Finances, Fiscal Politics / Budgeting
Published by: Fundacja Uniwersytetu Ekonomicznego w Krakowie
Keywords: corporate finance; real estate investments financing; convertible bonds; Polish capital market;
Summary/Abstract: The aim of the article is to identify the rationales for the use of convertible bonds by development companies listed on the Warsaw Stock Exchange. The empirical examination of issues carried out between 2009 and 2017 shows that convertibles are issued by big, relatively more leveraged firms with a good financial performance which perceive them as a source of cheaper and potentially non-refundable external capital raised to finance new real estate projects. Due to their undervaluation, development companies are likely to issue convertible bonds as a backdoor equity financing to increase equity capital under more favorable conditions in comparison to the issuance of common stock.
Journal: Świat Nieruchomości
- Issue Year: 1/2019
- Issue No: 107
- Page Range: 51-56
- Page Count: 6
- Language: Polish