Exploring the link between ESG disclosure and market value of the firm: evidence from Thai listed companies

  • David Van Brecht
  • Anastasia Maga
  • Kristian Luciani
  • Danuch Sahakijpicharn
  • Anna Semmerling


This paper explores the way market values the disclosure of non-financial information, namely the environmental, social and governance engagements, of publicly traded corporations supported by the evidence from 720 Thai listed companies. We are using the data from Bloomberg ESG disclosure score as a reference for ESG engagements in the valuation model provided by Ohlson (1995) to find the link between the non-financial information and the market value. Our results prove the value relevance of both ESG disclosure used as a dummy variable in the model and ESG score as a continuous variable for the financial market in Thailand. Our research contributes to the vast literature on value relevance of non-financial information and the relations between firm value and sustainability performance. In more general terms the research supports the efficient market hypothesis (Fama, 1998).