The Impact of Residual Government Ownership on Performance and Value Creation: the Case of Privatized French Companies

This paper examines the relationship between the residual Government ownership, performance and value creation on the post privatization period. The results reveal that very high levels of government ownership are associated with an increase in performance and value creation within the privatized company, while low levels of this ownership are associated with a decrease in performance and value creation. Our paper highlights also the important role of cognitive governance in determining performance and value creation within privatized companies.