Ownership Structure and Corporate Voluntary Disclosure: Evidence from Bahrain

Abstract

The aim of this study is to examine the relationship between ownership structure variables and the level of voluntary information disclosures of companies listed on the Bahrain Stock Exchange. The ownership structure variables included in the multiple regression model, are blockholder ownership, managerial ownership, and government ownership. An analysis of annual reporting practices of Bahraini listed firms, shows that there is a significant negative association between blockholder ownership and voluntary disclosures. However, managerial ownership and governmental ownership, are not associated with voluntary disclosures. The results of the regression analyses show, that size and Leverage of firms are significantly and positively associated with the level of voluntary information disclosures. Profitability of a firm is not significantly associated with voluntary disclosures.