Determinants of Capital Structure in Energy Sector

Capital structure is one of the most prolific domains of research in corporate finance. This thesis tests that if financial patterns of listed firms in energy sector of Pakistan follow capital structure theories….

Contents

1. INTRODUCTION
1.1 BACKGROUND AND PROBLEM DISCUSSION
1.2 PURPOSE
1.3 TARGETED GROUP
1.4 LIMITATIONS
2. THEORETICAL FRAMEWORK CONCERNING CAPITAL STRUCTURE
2.1 THEORY OF IRRELEVANCY OF CAPITAL STRUCTURE
2.2 THEORIES BASED ON AGENCY COSTS
2.3 STATIC TRADE-OFF THEORY (STT) OF CAPITAL STRUCTURE
2.4 THEORIES BASED ON ASYMMETRIC INFORMATION
2.5 COMPARATIVE LOOK ON CAPITAL STRUCTURE THEORIES
2.6 DIFFERENCES OF CAPITAL STRUCTURE ACROSS INDUSTRIES
2.7 DETERMINANTS OF CAPITAL STRUCTURE
2.7.1 COLLATERALIZABLE VALUE OF ASSETS
2.7.2 NON-DEBT TAX SHIELD
2.7.3 VOLATILITY
2.7.4 SIZE
2.7.5 INDUSTRY EFFECTS
2.7.6 PROFITABILITY
2.7.7 GROWTH OPPORTUNITIES
2.7.8 EARNING VOLATILITY
2.7.9 CASH HOLDING
2.7.10 OWNERSHIP STRUCTURE
3. ENERGY SECTOR
3.1 CHANGES IN GLOBAL ENERGY SECTOR
3.2 OWNERSHIP STRUCTURE OF GLOBAL ENERGY SECTOR
3.3 INTRODUCTION OF ENERGY SECTOR OF PAKISTAN
3.4 CAPITAL STRUCTURE OF PAKISTANI ENERGY STRUCTURE
4. METHODOLOGY AND EMPIRICAL DATA
4.1 THE MEASUREMENT SYSTEM
4.1.1 FINANCIAL LEVERAGE
4.1.2 COLLATERALIZABLE VALUE OF ASSETS (CVA)
4.1.3 SIZE
4.1.4 PROFIT
4.1.5 GROWTH
4.1.6 NON-DEBT TAX SHIELD (NDTS)
4.1.7 THE REGRESSION MODEL
4.2 HYPOTHESIS
4.3 DATA SELECTION
4.3.1 PRIMARY AND SECONDARY DATA
4.3.2 RELIABILITY
5. ANALYSIS AND RESULTS
6. CONCLUSION
7. REFERENCE

Author: Abubakr Saeed

Source: Blekinge Institute of Technology

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