Sudip Datta

Sudip Datta

Title

T. Norris Hitchman Endowed Chair; Professor of Finance
Chair, Department of Finance

Phone

313-577-0408

Email

sdatta@wayne.edu

Office

 216 Prentis

Sudip Datta

Academic Programs

  • Finance

Expertise

Executive Compensation, Mergers and Acquisitions, LBOs, Capital Structure, Investment Banking, Insider Trading, Corporate Bankruptcy, Analysts' Forecasts, Stock and Bond Markets

Research and teaching interests

Research

  • Corporate restructuring
  • Corporate governance
  • Executive compensation
  • Investment banking
  • Earnings management
  • Analysts' earnings forecasts
  • Information signaling in financial markets
  • Internal capital allocation efficiency in conglomerates
  • Corporate bankruptcy
  • Capital structure and debt structure choices
  • Insider trading
  • Product market competition
  • Financial market efficiency

Teaching

  • Corporate Finance
  • Corporate Valuation: Techniques, Models and Strategic Applications
  • Equity Valuation
  • Special Topics in Corporate Valuation
  • Ph.D. Seminar in Corporate Finance
  • Corporate Financial Management
  • Business Financial Management
  • Managerial Finance
  • Advanced Managerial Finance
  • Financial Statement Analysis for Decision-Making

 

Education

  • Ph.D. State University of New York, Binghamton
  • M.A. State University of New York, Binghamton
  • B.Sc. (Economics Honors), Presidency College

Biography

Dr. Datta is Professor of Finance and holds the T. Norris Hitchman Endowed Chair. His research interests and publications span a broad range of finance topics that include mergers and acquisitions, divestitures, executive compensation, initial public offerings of debt securities, capital structure decisions and debt structure choice, insider trading, corporate bankruptcy, corporate pension funding decisions, internal corporate restructuring, and corporate downsizing. He teaches undergraduate, MBA, and Ph.D. (Finance) courses. A prolific researcher, he has published numerous articles in top finance and management journals, including The Journal of Finance, Journal of Financial Economics, Journal of Financial and Quantitative Analysis, Journal of Business, Journal of Financial Intermediation, Financial Management, Journal of Banking and Finance, Journal of Applied Corporate Finance, Strategic Management Journal, and the Harvard Business Review

Full biography

Memberships

  • Financial Management Association
  • American Finance Association
  • Strategic Management Society

Editorial Boards

  • Journal of Banking and Finance
  • International Journal of Managerial Finance
  • Corporate Ownership and Control
  • Journal of Business Valuation and Economic Loss Analysis
  • International Review of Banking & Financial Studies
  • Served on the Scientific Committee of the 2015 IFABS conference organized by Oxford University, UK.

Ad hoc reviewer for:

  • Journal of Finance
  • Journal of Financial Economics
  • Journal of Business
  • Journal of Financial and Quantitative Analysis
  • Journal of Financial Intermediation
  • Journal of Corporate Finance
  • Journal of Empirical Finance
  • Journal of Banking and Finance
  • Financial Management
  • Journal of Financial Research
  • Journal of International Money and Finance 
  • Managerial and Decision Economics
  • Journal of Business Research
  • Journal of Money, Credit and Banking
  • Review of Financial Economics
  • Journal of Accounting, Auditing, and Finance

Professional Affiliations

  • American Finance Association
  • Financial Management Association
  • Western Finance Association
  • Southern Finance Association
  • Eastern Finance Association 

Consulting Experience

Finance expert for Melick, Porter and Shea, LLP, Boston, MA and Tishkoff and Associates L.L.P. Engaged in corporate valuation and valuation of executive stock option grants, divorce settlement, financial asset valuation.

Expertise in business valuation, estimation of financial damages/forgone earnings due to job related injuries, valuation of executive and employee stock options, valuation of shareholder damages due to stock price manipulation, insider-trading related damages, private company valuation, mergers/acquisitions, initial public offering and seasoned offerings of securities etc. 

Academic Experience

  • Ph.D. Program Director, School of Business Administration, Wayne State University, 2011-2012
  • Professor and T. Norris Hitchman Endowed Chair in Finance - Wayne State University, Fall 2004 - present
  • Professor and Robert and Julia Dorn Chair - Bentley University, Fall 2000 - Spring 2004
  • Associate Professor and Robert and Julia Dorn Chair - Bentley University, Fall 1998 - Spring 2000
  • Associate Professor - Bentley University, Fall 1995 - Spring 1998
  • Assistant Professor - Bentley University, Fall 1989 - Spring 1995

Publications

 

Presentations

Paper Presentations

  • Deal Innovations in Mergers and Acquisitions: Do Go-Shop Provisions Create Real Benefits (co-authored with Chenguang Shang), presented at the Midwest Finance Association Meeting in Orlando, FL, March 2014.
  • Product Market Power, Industry Structure, and Corporate Earnings Management (with Mai Iskandar-Datta and Vivek Singh), to be presented at the European Financial Management Association Meeting in Reading, U.K. in June 26, 2013.
  • Lifting the Veil on Reverse Leveraged Buyouts: What Happens During and Surrounding the Private Period? (with Mark Gruskin and Mai Iskandar-Datta), presented at the Financial Management Association Meetings, New York in October 2010.
  • Executive Compensation and Internal Capital Market Efficiency (with Ranjan D'Mello and Mai Iskandar-Datta), to be presented at the Financial Management Association Meetings, Orlando in October, 2007.
  • Managerial Stock Ownership and Maturity Structure of Corporate Debt (with Mai Iskandar-Datta and Kartik Raman), presented at the Financial Management Association Meetings, New Orleans October, 2004. 
  • Convertible Bond Calls: Resolution of the Information Content Puzzle (with Mai Iskandar-Datta and Kartik Raman), presented at the Financial Management Association Meetings, Denver October, 2003.
  • Executive Compensation Structure and Corporate Equity Financing Decisions (with Mai Iskandar-Datta and Kartik Raman), presented at the Financial Management Association Meetings, San Antonio October, 2002
  • Executive Compensation and Corporate Acquisition Decisions(with Mai Iskandar-Datta and Kartik Raman), presented at the Financial Management Association Meetings, Toronto in October, 2001. This paper won the competitive Outstanding Paper Award in Corporate Finance.

Outstanding Paper Award in Corporate Finance

  • Value Creation in Corporate Asset Sales: The Role of Managerial Performance and Lender Monitoring (with Mai Iskandar-Datta and Kartik Raman), at the Financial Management Association International Meeting, Paris, France, May 2001.
  • Debt Structure Adjustments and Long-run Stock Price Performance (with Mai Iskandar-Datta and Kartik Raman) at the Financial Management Association Meetings, Seattle in October, 2000.
  • Managerial Performance and Value Creation in Corporate Asset Sales (with Mai Iskandar-Datta and Kartik Raman) at the Financial Management Association Meetings, Orlando in October, 1999.
  • Bank Monitoring and the Pricing of Corporate Public Debt (with Mai Iskandar-Datta and Ajay Patel), at the Financial Management Association International Meetings, Lisbon, Portugal held in June, 1998 and at the Financial Management Association Meetings, Chicago in October, 1998.
  • Session chair at Southern Finance Association meeting in November 1997 in Baltimore.
  • Are Debt Offers Informative?: New Evidence from Straight Bond IPOs (with Mai Iskandar-Datta and Ajay Patel). Financial Management Association annual meetings, New Orleans, October 1996 and First Annual FMA International meeting in May 1997 in Zurich, Switzerland.
  • Valuation Effects And Signalling Implications of Initial Public Debt Offers (with Mai Iskandar-Datta and Ajay Patel), Southern Finance Association meeting held in November 1995 in Sarasota, FL. This paper won the outstanding paper award at the conference.
  • Valuation Effects of Corporate Straight Debt Offerings: An Empirical Investigation of the Anomalous Price Behavior (with Mai Iskandar-Datta). Financial Management Association. Meetings, New York, October 1995.
  • An Investigation of the Returns on Initial Public Offerings of Bonds (with Mai Iskandar-Datta and Ajay Patel). French Finance Association meetings, Bordeaux, France, June 1995.
  • An Investigation of the Returns on Initial Public Offerings of Bonds (with Mai Iskandar-Datta and Ajay Patel). Financial Management Association Meetings, St. Louis, October 1994. This paper was nominated for the best paper award at the Southern Finance Association meeting held in November 1994 in Charleston, SC.

Media

Media appearances, include The Wall Street Journal, Investor's Business Daily, The Washington Post, CFO magazine, The Detroit News, Detroit Free Press, Worcester Telegraph, Economic Intuition, The Bowne Review of CFOs and Investment Bankers, CFA Digest, The Clarion Ledger, The Deal Pipeline, among others. Frequent radio commentator, such as on WDET (Detroit Public Radio).

Interviewed for a Detroit Free Press article (July 16, 2007) titled "Lear Shareholders Shoot Down Icahn's Bid to Buy" regarding Carl Icahn's attempt to buy Lear Corp.

Interviewed for a Detroit Free Press (Sunday - September 30, 2007) special article in the supplementary section on "Taking the Buyout -- Running your home finances like a small business."

Interviewed for a Detroit Free Press article (May 10, 2008) titled "Strategies Help Investors Keep Quiet" regarding Kirk Kerkorian's accumulation of Ford shares.

Interviewed for The Detroit News article (September 23, 2008) titled "GM's Shares Fall on Unease" by Robert Snell regarding temporary short-sale restrictions on GM shares Page 4A and 4C.

Interviewed for The Detroit News article (November 13, 2008) titled "New Solutions Sought as Homeless Ranks Grows" by Gregg Krupa.

Interviewed for Ward's Automotive (December 10, 2008) titled "Democrats, White House Agree on Loan Plan; Opposition Remains" by James M. Amend and Byron Pope.

Interviewed for a Detroit Free Press (October 13, 2010) titled "New GM Stock for Sale to Workers" by Greg Gardner, Chrissie Thompson and Zlati Meyer.

Quoted by Tom Krisher and Dee-Ann Durbin of Associated Press in the Lansing State Journal (October 15, 2010) in an article titled "5% of GM Stock Set Aside for Employees in its IPO".

Interviewed for a Detroit Free Press article (December 18, 2012) titled "Would New Compuware Owners Be Threat or Boon to Detroit Revitalization Efforts?" by John Gallagher.

http://www.freep.com/apps/pbcs.dll/article?AID=2012312180121

Quoted in Crain's Detroit Business article titled "Compuware Takeover Try Asks: Where's Boards IT IQ?" by Tom Henderson on problems with Compuware's Board of Directors and the takeover bid by a New York Hedge Fund (Elliott Management), February 24, 2013.

http://www.crainsdetroit.com/article/20130224/NEWS/302249959/compuware-takeover-try-asks-wheres-boards-it-iq

Quoted by The Deal Pipeline, LLC, a prominent investment banking and private equity website with wide readership in the Wall Street's investment banking community. The article dated February 1, 2013, is titled "The LBO Gamble" by Suzanne Miller relates to the potential $20 billion leveraged buyout of Dell Inc.

http://pipeline.thedeal.com/tdd/ViewArticle.dl?id=10005800716

Quoted in The Guardian (U.K.) in an article titled "Equal pay fact sheet: beyond the gender gap of '77 cents for every dollar" by Jana Kasperkevic published on April 8, 2014.
http://www.theguardian.com/money/us-money-blog/2014/apr/08/equal-pay-women-fact-sheet-salary-career

Quoted in Crain's Detroit Business article titled "Marc Gardner Takes On Twitter Founder's Square in Big Bucks Battle" by Tom Henderson on issues with Venture Capital funding, May 11, 2014.

Quoted in Crain's Detroit Business article titled "Top-compensated CEOs: 2013" by Tom Henderson on CEO compensation and performance, May 18, 2014.
 
Full-length article on our research (co-authored with Mai Iskandar-Datta) on CFO qualifications and compensation published in the CFO magazine (readership of 400,000) titled "CFOs Cash in Big with MBAs from Elite Schools" by David McCann (May 28, 2014).
 
Quoted in Detroit Free Press article titled "Compuware sold to private equity firm: Is likely to stay in Detroit" by JJ Reindle (Sept 2, 2014)

Quoted in Crain's Detroit Business article titled "CEO Paul:Deal will Give Compuware a 'freer hand' to make changes" by Tom Henderson (Sept. 8, 2014).
http://www.crainsdetroit.com/article/20140907/NEWS/309079980/ceo-paul-deal-will-give-compuware-a-freer-hand-to-make-changes

Quoted in Crain's Detroit Business article titled "Tax inversion rules: A moving target" by Dustin Walsh (Nov 30, 2014).
http://www.crainsdetroit.com/article/20141130/NEWS/311309983/why-corporate-tax-inversion-rules-are-a-moving-target

Quoted in Detroit Free Press article titled "Compuware may have a future after its leveraged buyout by JC Reindle (Dec 14, 2014). http://www.freep.com/story/money/business/michigan/2014/12/14/compuware-leveraged-buyout-sale-thoma-bravo/20343379/

Interviewed for Wallethub's Ask the Experts on December 16, 2015 for "2016 Financial Predictions" https://wallethub.com/blog/2016-predictions/18005/#sudip-datta

Quoted in Crain's Detroit Business article titled "Southeast Michigan sees slide in public companies" by Dustin Walsh (June 12, 2017).
 
Quoted in Crain's Detroit Business in an article titled "Why is this man eyeing Taubman Centers?" by Kirk Pinho and Dustin Walsh (November 21, 2017)

 

Selected Radio Interviews

• "Inside Detroit" show by Mildred Gaddis WCHB (1200 AM) on March 24, 2006.

• Radio Interview WWJ 950 AM July 26, 2007 on stock market decline.

• Radio Interview WWJ 950 AM August 16, 2007 on stock market condition (Paul Snyder show at 7:41pm)

• Radio Interview Detroit Today WDET Detroit Public Radio 101.9 FM July 14, 2008 on the "Bailout of Fannie and Freddie"

• Radio Interview Detroit Today WDET Detroit Public Radio 101.9 FM November 18, 2008 on the "Auto Bailout Lottery"

• Radio Interview Detroit Today WDET Detroit Public Radio 101.9 FM March 30, 2009 on the "Auto Task Force Findings and the Firing of GM CEO Rick Wagoner."

• Radio Interview Detroit Today WDET Detroit Public Radio 101.9 FM June 1, 2009 on "GM Goes Under - on General Motors Bankruptcy."

• Radio Interview Detroit Today WDET Detroit Public Radio 101.9 FM April 26, 2010 on the Financial Regulation Bill.

• Radio Interview Detroit Today WDET Detroit Public Radio 101.9 FM August 19, 2010 on "GM's Proposed IPO."
 
• Radio News Interview WDET/NPR News Detroit Public Radio 101.9 FM December 3, 2012 on "Detroit's bondrating downgrade by Moody's."
 
• Radio Interview on WWJ 950 AM March 9, 2013 on "Record Breaking Stock Market."

 

Awards

  • Listed in Who's Who in the World, Who's Who in America, Who's Who in Finance and Industry, and Who's Who in American Education.
  • Recipient of the Distinguished Research Award (2008) Wayne State University School of Business Administration.
  • T. Norris Hitchman Endowed Chairholder at the School of Business Administration, Wayne State University.
  • Ranked as one of the top Finance researchers worldwide over a 50-year period based on both research productivity as well as quality-adjusted published articles. See article titled Prolific Authors in the Finance Literature: A Half Century of Contributions by Jean L. Heck and Philip L. Cooley in the Journal of Finance Literature (Winter 2005). This article examines the 50-year period 1953-2002 (my career started in 1989), states in its abstract The prolific authors identified in this study are truly remarkable. A subsequent follow-up article by Terrance Jalbert (University of Hawaii) scheduled to appear in the Journal of Financial Education (2008) that updates the Heck and Cooley ranking, ranks me at #62 (Heck and Cooley ranking was #301).
  • Robert and Julia Dorn Professorship: first recipient of a professorship in the Finance Department, Bentley College.
  • Won the competitive Outstanding Paper Award in Corporate Finance at the 2001 Financial Management Association's annual meeting held in Toronto, Canada, in October 2001.
  • Won the 1996 Bentley College Scholar of the Year award for outstanding achievements in scholarly research. This is a lifetime achievements award in scholarly research presented on a competitive basis to a faculty member chosen from the pool of all faculty members of the institution.
  • The paper entitled Who Gains From Corporate Asset Sales? (with Mai Iskandar-Datta) competitively won the outstanding paper award from the Journal of Financial Research among all the articles published in that journal during 1996.
    Won the Bentley College Publication Award for 1994, 1995, 1996, 1997.1998, 1999, 2000, and 2001.
  • "Insider-Trading Reports Are Linked to Price of Bonds" by Warren Getler, The Wall Street Journal, February 8, 1995 (page C1). This full length article was written drawing attention to my study.
  • "Does Insider Trading Have Information Content in the Bond Market? (co-authored with Mai E. Iskandar-Datta), Journal of Banking and Finance, which has significant policy implications for the Securities and Exchange Commission regarding a loophole in the current insider trading laws. I was also quoted in an article related to insider-trading which was published in the Middlesex News on July 2, 1995. The article has also been referenced in a book entitled Insider Trading by William K.S. Wang (Professor of Law, University of California, Hastings College of the Law) and Marc I. Steinberg (Radford Professor of Law, Southern Methodist University School of Law), published by Little, Brown and Company (now Aspen Law and Business) in 1997.
  • Won the competitive Outstanding Paper Award at the 1995 national annual conference of the Southern Finance Association held in Sarasota, Florida (November 1995).
  • Published articles in the reading list of many reputed finance programs, e.g. University of Rochester, Indiana University, UC-Berkeley, Florida State University, among several others.
  • Recognized for valuable research on corporate earnings expectations (published in the Journal of Financial and Quantitative Analysis) that opens up new horizons for the fixed income securities markets by Institutional Brokers Estimate System (IBES) in its IBES Innovator (April 1994) (disseminated to over 4000 earnings analysts worldwide). Research results also published on The Bloomberg on-line system.