Determinants of firms’ capital structure and liquidity: High R&D intensity industries in the European Union

• Autor(a) principal: Faria, Filipe Miguel Carvalho dos Santos
• Data de Publicação: 2020
• Tipo de documento: Dissertação
• Idioma: eng
• Título da fonte: Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)
• Texto Completo: http://hdl.handle.net/10071/21507
• topic: Capital structure; Corporate financial liquidity; R&D industries; Enterprise policy; Estrutura de capital; Liquidez financeira das empresas; Indústrias I&D; Política económica empresarial

What determines the Capital Structure and Liquidity of R&D intensive companies? This study aims to answer this for the European Union. The results show that some of the classical determinants apply to these companies, but also that they require special conditions in order to overcome critical phases, for not being able to resort as much to debt and typically holding more liquid assets, consequences of riskier activities and information asymmetries. Based on these results, some of the existing EU policies for assisting such companies are revised and suggestions are made concerning more attention on non-R&D investments from R&D intensive companies, allocation of more resources through equity financial instruments, a new model to serve as guarantor for these companies, and increasing efforts in investor protection in some countries.