RESEARCH ARTICLE
Climate risk exposure and debt concentration: Evidence from Chinese listed companies
Wuqi Song,
Wenshuai Xu,
Wenzhou Qu,
Xu Gong,
Wuqi Song
School of Management, Xiamen University, Xiamen, China
Search for more papers by this authorWenshuai Xu
School of Accounting, Shanghai University of Finance and Economics, Shanghai, China
Search for more papers by this authorCorresponding Author
Wenzhou Qu
School of Management, Xiamen University, Xiamen, China
Correspondence
Wenzhou Qu, School of Management, Xiamen University, Siming South Road No. 422, Siming District, Xiamen, Fujian 361005, China.
Email: [email protected]
Search for more papers by this authorXu Gong
School of Management, China Institute for Studies in Energy Policy, Xiamen University, Xiamen, China
Search for more papers by this authorWuqi Song,
Wenshuai Xu,
Wenzhou Qu,
Xu Gong,
Wuqi Song
School of Management, Xiamen University, Xiamen, China
Search for more papers by this authorWenshuai Xu
School of Accounting, Shanghai University of Finance and Economics, Shanghai, China
Search for more papers by this authorCorresponding Author
Wenzhou Qu
School of Management, Xiamen University, Xiamen, China
Correspondence
Wenzhou Qu, School of Management, Xiamen University, Siming South Road No. 422, Siming District, Xiamen, Fujian 361005, China.
Email: [email protected]
Search for more papers by this authorXu Gong
School of Management, China Institute for Studies in Energy Policy, Xiamen University, Xiamen, China
Search for more papers by this authorAbstract
We examine the impact of firm-level climate risk exposure (CRE) on the debt concentration choices of Chinese listed companies over the period 2010–2021. Our findings suggest that CRE prompts firms to choose debt structures with higher concentration, and this relationship holds true for both physical and transition risks. Further analysis reveals that this effect is more pronounced among firms with higher default risk, restricted access to capital, and lower accounting quality. Our findings remain solid to a battery of robustness tests. Collectively, our study sheds light on the economic consequences of through the lens of firms' debt concentration adjustments.
Open Research
DATA AVAILABILITY STATEMENT
The data that support the findings of this study are available upon reasonable request.
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