The Sarbanes-Oxley Act and the Private Company Discount: An Empirical Investigation
Document Type
Article
Publication Date
12-1-2008
Journal / Book Title
Critical Perspectives on Accounting
Abstract
While criticism of the Sarbanes-Oxley Act of 2002 (SOX) typically focuses on its negative impact on small public companies, this study uses acquisition data to empirically investigate whether the Sarbanes-Oxley Act impacts the value of private firms. This study presents strong evidence that the private firm discount was greater post-SOX. The evidence represents support for the argument that SOX has been more detrimental for private companies than for public companies.
DOI
10.1016/j.cpa.2007.03.005
MSU Digital Commons Citation
Digabriele, James, "The Sarbanes-Oxley Act and the Private Company Discount: An Empirical Investigation" (2008). Department of Accounting and Finance Faculty Scholarship and Creative Works. 127.
https://digitalcommons.montclair.edu/acctg-finance-facpubs/127
Published Citation
DiGabriele, J. A. (2008). The Sarbanes-Oxley Act and the private company discount: An empirical investigation. Critical Perspectives on Accounting, 19(8), 1105-1121.