Initial Public Offering (IPO’s) Under-pricing or Overpricing: An Empirical study of Selected IPO’s in NSE and BSE

An Empirical Investigation of Underpricing in Chinese IPOs

We study the underpricing of Chinese IPOs, using data of 308 flrm-commitment new issues. We flnd that underpricing can be explained in terms of a separating equilibrium under asymmetric information in which underpricing is a strategy for flrms to signal their value to investors. We show that bribery is an unlikely cause of the high IPO underpricing observed in the Chinese data. We also investig...

Regional Distribution of Ipos and Growth: an Empirical Analysis

This paper analyses if the proximity to financial centres affects costs and benefits to go public. First was tested, in the Italian case, the hypothesis that distance has a negative effect on the decision of a firm to go public. To this aim, we have compared firms which decided, during 1995-2004 period, to list to the Italian stock exchange with those not listed despite meeting the listing requ...

Competitive IPOs

Competition between investment banks for lead underwriter mandates in IPOs is fierce, but having committed to a particular bank, the power of the issuer is greatly reduced. Although information revelation theories justify giving the underwriters influence over pricing and allocation, this creates the potential for conflicts of interest. In this clinical paper we analyse an interesting innovatio...

Initial and Long-Run Performance of Mining IPOs in Australia

This paper provides an empirical analysis of the pricing of initial public offerings (IPOs) of mining firms in Australia. Based on a sample of 130 mining IPOs issued during the period 1979 to 1990, the results show an average underpricing of 107.18%, significantly higher than that previously documented for industrial firms. An examination of the data shows that the delay between prospectus regi...

Initial public offerings , subsequent seasoned equity offerings , and long - run performance : Evidence from IPOs in Germany