Equal voting power among large shareholders boosts firm value significantly.
The article explores how having multiple large shareholders can impact the value of companies. The researchers studied Finnish listed firms and found that when big shareholders have more equal voting power, it tends to increase the overall value of the company. This effect is especially strong in family-controlled firms, where having multiple blockholders helps prevent families from taking advantage of the company for personal gain. The study also shows that the specific identity of these blockholders plays a significant role in determining the firm's value.