Research seminar: Yakov Amihud (NYU Stern School of Business)

We would like to invite you to a research seminar by Yakov Amihud, Ira Rennert Professor of Entrepreneurial Finance at the Stern School of Business, New York University.

Title: Liquidity Spillovers: Evidence from Two-Step Spinoffs

Authors: Yakov Amihud (NYU Stern), Sahn-Wook Huh (SUNY Buffalo), Avanidhar Subrahmanyam (UCLA)

Abstract: How does an idiosyncratic shock to the liquidity of a stock affect the liquidity and prices of related stocks? Utilizing the feature that the second stage of a two-step spinoff increases the float of an already-public firm, we document strong evidence that the enhanced liquidity of spun-off firms spills over to their industry peers after the spinoffs. These liquidity spillovers lead to value spillovers as well. The improved liquidity also induces greater pricing efficiency and larger institutional holdings in those stocks. The results provide support for the notion that the prices of spun-off firms provide additional public information about the related firms, thereby ameliorating information asymmetry in those firms.

The seminar will take place on Thursday, October 31, in Room 105 at 9:30. The paper is available here. 

We invite, in particular, PhD students to take the opportunity to get familiar with the state-of-the-art research; their attendance counts equivalently as attendance at dissertation defenses. We also invite faculty members and PhD students to discuss their own research with the speaker. If you need a discussion slot with Prof. Amihud, please write to Roman Horváth, and he will try to find a suitable time. 

The list of all research seminars at IES (past and forthcoming) is available at: https://ies.fsv.cuni.cz/en/research/research-seminars