Along the same line, the mean HSLR (high sales growth, low MB ratio) is higher for callable bonds, indicating that outside investors expect lower growth/investment opportunities from callable bond issuers in spite of the higher historical sales growth.
In the HSLR case (Panel B, second row), the degree of Information Asymmetry does not appear to affect the use of callable bonds.
Model 2 further divides the HS group into HSHR and HSLR subgroups.
The coefficients on Information Asymmetry and HSLR are significantly positive.
18) In addition, a significantly higher percentage of Rule 144A issues are HSLR issues.