The impact of corporate governance practices on the value of Russian integrated oil and gas companies
In this paper we investigate how level of corporate governance influence to the value of integrated oil and gas companies. We constructed a “Corporate governance Index”, which is a composite measure of 4 groups of factors: information transparency, shareholders structure, management quality, board of directors. Using regression test we find that firms with higher corporate governance rating have higher firms value. Our valuation measure is Tobin Q, which has been used in many researches as an indicator of how investors value assets and prospects of firms. Our analysis based on date of 10 largest Russian integrated oil and gas companies. Despite the during last decade level of corporate governance in Russian oil and gas industry considerably increased we observe a gap in compare with world oil majors.
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corporate governance; firm value; integrated oil and gas company; Tobin Q.; вертикально-интегрированные нефтегазовые компании; корпоративное управление; коэффициент Тобина; стоимость References to this article (GOST) B.M. Guseynov. The impact of corporate governance practices on the value of Russian integrated oil and gas companies // Electronic scientific journal "Oil and Gas Business". 2011. №5. P.439-450. URL: http://ogbus.ru/authors/Guseinov/Guseinov_1.pdf