RT Journal DB /z-wcorg/ DS http://worldcat.org ID 438013349 LA English T1 The Effect Of International Acquisitions on Firm Leverage A1 Chkir, Imed, Cosset, Jean-Claude, PB Blackwell Publishing YR 2003 SN 0270-2592 JF The Journal of Financial Research VO 26 IS 4 SP 501 OP 515 AB To determine whether corporate international diversification leads firms to increase their leverage, we perform an event study that compares the leverage of corporations before and after they acquire foreign subsidiaries. We find that on average leverage increases from the first to the third year following the acquisition. When we examine the relation between additional debt financing after foreign acquisitions and the characteristics of these acquisitions, we find that in addition to such major determinants as size and profitability, debt financing is explained by geographical and industrial diversification effects.