Death Spiral Convertibles

By Pierre Hillion, T. Vermaelen. 2004

153 citations recorded by the source corpus.

View Paper: https://www.semanticscholar.org/paper/54444ceb17f32bb982afd4b4d770a1903cfab803

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Citations in the corpus

Hedge Funds as Investors of Last Resort (2009, methodology): “21 The poor performance of companies issuing structured PIPEs is consistent with the manipulation hypothesis of Hillion and Vermaelen (2004). However, the poor performance of companies issuing traditional PIPEs to hedge funds cannot be explained by market manipulation, because investors in tradition”
Performance-Sensitive Debt (2010, result): “Empirical research on structural models of corporate bond pricing in(6)This result is somewhat related to the finding by Hillion and Vermaelen (2004) that the issuance of floating-priced convertibles is followed by significant negative abnormal returns.”
Financing Under Extreme Risk: Contract Terms and Returns to Private Investments in Public Equity (2010, unknown): “The poor post-issue performance of reset issuers is consistent with the findings in Hillion and Vermaelen (2004) and Brophy, et. al (2009).”
Contingent Capital: The Case of COERCs (2014, background): “But even without short sellers, shareholders may suffer losses from conversions following a market panic in which stock prices 6See Hillion and Vermaelen (2004); “Stability Concerns over CoCo Bonds,” Financial Times (Nov. 5, 2009); and “CoCo Trigger Plan Draws Wary Response,” Financial Times (April…”
Changing Names with Style: Mutual Fund Name Changes and Their Effects on Fund Flows (2005, methodology): “Hundreds of US mutual funds have altered their names this year to reflect the more sober mood of the markets – “New Economy” and “Growth” are out, and “Value” is definitely in. “Investment companies are ripping names from the headlines and slapping them on funds that haven't changed a bit,” said…”
Valuation of Convertible Bonds With Credit Risk (2003, background): “Examples include liquid yield option notes (McConnell and Schwartz, 1986), mandatory convertibles (Arzac, 1997), “death spiral” convertibles (Hillion and Vermaelen, 2001), and crosscurrency convertibles (Yigitbasioglu, 2001).”
A Cross-Disciplinary Exploration of Entrepreneurship Research (2007, background): “Another research opportunity concerns the fact that financial innovations (Grinblatt & Longstaff, 2000; Hillion & Vermaelen, 2004; Lerner, 2006) represent an entrepreneurial opportunity for firms competing in the financial services industry.”
Should corporate debt include a rating trigger (2006, background): “In contrast, other agency-reducing financial contracts, such as floating convertibles, analyzed in a recent article by Hillion and Vermaelen (2004), are subject to manipulation by market participants.”