Research on the Motivations Behind Company B's Share Repurchase
DOI:
https://doi.org/10.54097/e3kgvt63Keywords:
share repurchase, signaling, opportunism.Abstract
Using Company B as a case study, this paper constructs a motivational analysis framework from the behavioral event perspective to examine the true motives behind its share repurchases. Findings reveal that the first repurchase was clearly designed to facilitate major shareholders' share reduction. While the second repurchase implemented an employee stock ownership plan, it also carried the intention of mitigating equity pledge risks. Finally, targeted policy recommendations are proposed based on these findings.
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