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- W3085439637 abstract "We investigate whether corporate social responsibility (CSR) ratings affect the syndicated loan spreads paid by European listed firms. By performing ordinary least squares (OLS) pooled regressions on a sample of 1101 syndicated loans granted to European companies, we find evidence that borrowers’ CSR ratings have a significant impact on loan spreads. However, the relationship between CSR ratings and loan spreads is quite complex. Low CSR-rated firms pay higher loan spreads than better CSR-rated firms, but high CSR ratings are not always rewarded by lenders. The benefits of a high CSR rating level are significant only for firms located in countries that pay great attention to sustainability issues. Overall, our work provides a key to reconciling the mixed results obtained in the empirical literature, as we find evidence of a significant lack of homogeneity within the European Union countries regarding the relationship between CSR performance and the cost of debt financing." @default.
- W3085439637 created "2020-09-21" @default.
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- W3085439637 date "2020-09-16" @default.
- W3085439637 modified "2023-10-17" @default.
- W3085439637 title "Do CSR Ratings Affect Loan Spreads? Evidence from European Syndicated Loan Market" @default.
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- W3085439637 doi "https://doi.org/10.3390/su12187639" @default.
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