Marina Zavertiaeva presented the study "Bank-firm interlocking Boards: Does it help to raise financial resources?". Co-authors of this research: Dmitrii Kirpishchikov, Evgeniia Shenkman.
The study presented at the IDLab workshop aims to assess the ability of public companies to attract financing using the connectedness of their Boards with banks. Researchers calculate ajusted metrics of directors centrality using Social Network Analysis technique and control for potential selection bias with Heckman procedure. Using the data of the largest Russian public companies, public, and non-public Russian banks for the period 2013-2020, researchers find a negative influence of banks-firms interlocking on firms’ long-term liabilities. A connected banks becomes more informed about a borrower that may lead to their lower financial leverage.
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