Author: Stephen R. Foerster
Publisher:
ISBN:
Category :
Languages : en
Pages : 45
Book Description
This study investigates the long-run return performance of non-U.S. firms that raise equity capital in U.S. markets. Overall, our sample of 333 global equity offerings with U.S. depositary receipt (ADR) tranches from 35 countries in Asia, Latin America, and Europe under-perform local and global benchmarks by 8% to 39% over the three years following issuance. We show that differences in long-run returns are related to the scope and magnitude of investment barriers that induce segmentation of capital markets around the world. Specifically, companies from emerging markets and those that issue equity by way of Rule 144A private placements significantly underperform publicly-listed issues and those of companies in developed markets. We also show that inter-market competition for order flow in the post-issuance period affects their long-run return performance. Post-issuance cumulative abnormal returns are most significantly and positively related to the ability of the offering to generate a larger share of U.S. trading volume.
The Long-Run Performance of Global Equity Offerings
Author: Stephen R. Foerster
Publisher:
ISBN:
Category :
Languages : en
Pages : 45
Book Description
This study investigates the long-run return performance of non-U.S. firms that raise equity capital in U.S. markets. Overall, our sample of 333 global equity offerings with U.S. depositary receipt (ADR) tranches from 35 countries in Asia, Latin America, and Europe under-perform local and global benchmarks by 8% to 39% over the three years following issuance. We show that differences in long-run returns are related to the scope and magnitude of investment barriers that induce segmentation of capital markets around the world. Specifically, companies from emerging markets and those that issue equity by way of Rule 144A private placements significantly underperform publicly-listed issues and those of companies in developed markets. We also show that inter-market competition for order flow in the post-issuance period affects their long-run return performance. Post-issuance cumulative abnormal returns are most significantly and positively related to the ability of the offering to generate a larger share of U.S. trading volume.
Publisher:
ISBN:
Category :
Languages : en
Pages : 45
Book Description
This study investigates the long-run return performance of non-U.S. firms that raise equity capital in U.S. markets. Overall, our sample of 333 global equity offerings with U.S. depositary receipt (ADR) tranches from 35 countries in Asia, Latin America, and Europe under-perform local and global benchmarks by 8% to 39% over the three years following issuance. We show that differences in long-run returns are related to the scope and magnitude of investment barriers that induce segmentation of capital markets around the world. Specifically, companies from emerging markets and those that issue equity by way of Rule 144A private placements significantly underperform publicly-listed issues and those of companies in developed markets. We also show that inter-market competition for order flow in the post-issuance period affects their long-run return performance. Post-issuance cumulative abnormal returns are most significantly and positively related to the ability of the offering to generate a larger share of U.S. trading volume.
The Long-run Performance of Global Equity Offerings
Author: Stephen R. Foerster
Publisher: London : Richard Ivey School of Business, University of Western Ontario
ISBN: 9780771420580
Category :
Languages : en
Pages : 52
Book Description
Publisher: London : Richard Ivey School of Business, University of Western Ontario
ISBN: 9780771420580
Category :
Languages : en
Pages : 52
Book Description
The Long-run Performance of Seasoned Equity Offerings with Rights
Long Run Underperformance of Seasoned Equity Offerings
Author: Victor Soucik
Publisher:
ISBN: 9780729804745
Category : Going public (Securities)
Languages : en
Pages : 45
Book Description
Publisher:
ISBN: 9780729804745
Category : Going public (Securities)
Languages : en
Pages : 45
Book Description
IPOs and Equity Offerings
Author: Ross Geddes
Publisher: Elsevier
ISBN: 0080478786
Category : Business & Economics
Languages : en
Pages : 273
Book Description
An initial public offering (IPO) is one of the most significant events in corporate life. It follows months, even years of preparation. During the boom years of the late 1990s bull market, IPOs of growth companies captured the imagination and pocketbooks of investors like never before. This book goes behind the scenes to examine the process of an offering from the decision to go public to the procedures of a subsequent equity offering. The book is written from the perspective of an experienced investment banker describing the hows and whys of IPOs and subsequent equity issues. Each aspect of an IPO is illustrated with plenty of international examples pitched alongside relevant academic research to offer a combination of theoretical rigour and practical application. Topics covered are: - the decision to go public- legal and regulatory aspects of an offering; marketing and research- valuation and pricing- allocations of shares to investors - examination of fees and commissions* Global perpective: UK, European and US practices, regulations and examples, and case studies* First hand experience written by an IPO trader with academic rigour* Includes the changes in the market that resulted from 1998-2000 equity boom
Publisher: Elsevier
ISBN: 0080478786
Category : Business & Economics
Languages : en
Pages : 273
Book Description
An initial public offering (IPO) is one of the most significant events in corporate life. It follows months, even years of preparation. During the boom years of the late 1990s bull market, IPOs of growth companies captured the imagination and pocketbooks of investors like never before. This book goes behind the scenes to examine the process of an offering from the decision to go public to the procedures of a subsequent equity offering. The book is written from the perspective of an experienced investment banker describing the hows and whys of IPOs and subsequent equity issues. Each aspect of an IPO is illustrated with plenty of international examples pitched alongside relevant academic research to offer a combination of theoretical rigour and practical application. Topics covered are: - the decision to go public- legal and regulatory aspects of an offering; marketing and research- valuation and pricing- allocations of shares to investors - examination of fees and commissions* Global perpective: UK, European and US practices, regulations and examples, and case studies* First hand experience written by an IPO trader with academic rigour* Includes the changes in the market that resulted from 1998-2000 equity boom
Seasoned Equity Offerings and the Short and Long-run Performance of Initial Public Offerings
Author: Mario Levis
Publisher:
ISBN:
Category : Corporations
Languages : en
Pages : 32
Book Description
Publisher:
ISBN:
Category : Corporations
Languages : en
Pages : 32
Book Description
The Performance of Seasoned Equity Offerings in the Long-term Perspective
Empirical Issues in Raising Equity Capital
Author: Mario Levis
Publisher: North-Holland
ISBN:
Category : Business & Economics
Languages : en
Pages : 420
Book Description
Hardbound. This volume covers issues of interest to corporate financiers, investment bankers, fund managers and investors involved in the process of raising long-term capital. The papers, which represent original contributions in their specific subject areas, cover a wide range of issues. These include initial public offerings, privatisation issues, seasoned issues and international equity offerings, with empirical evidence from more than eight countries in Europe, the Far East and the Americas. The volume makes a significant contribution to bridging the gap between modern finance theory and corporate financing practice. It is a vital book for postgraduate and Phd finance courses.
Publisher: North-Holland
ISBN:
Category : Business & Economics
Languages : en
Pages : 420
Book Description
Hardbound. This volume covers issues of interest to corporate financiers, investment bankers, fund managers and investors involved in the process of raising long-term capital. The papers, which represent original contributions in their specific subject areas, cover a wide range of issues. These include initial public offerings, privatisation issues, seasoned issues and international equity offerings, with empirical evidence from more than eight countries in Europe, the Far East and the Americas. The volume makes a significant contribution to bridging the gap between modern finance theory and corporate financing practice. It is a vital book for postgraduate and Phd finance courses.
Three Essays on the Long-run Performance of Firms Issuing Seasoned Equity Offerings
Author: Pawel Tomasz Bilinski
Publisher:
ISBN:
Category :
Languages : en
Pages : 179
Book Description
Publisher:
ISBN:
Category :
Languages : en
Pages : 179
Book Description
The Rationale for Global Equity Offerings
Author: Susan Chaplinsky
Publisher:
ISBN:
Category :
Languages : en
Pages :
Book Description
If global capital markets are less than completely integrated, firms can create value for investors by issuing equity in foreign markets. We develop a theoretical framework to show that the offer price for an issuer's shares is increased by wider distribution of the shares in multiple markets. Using a sample of 276 global equity offerings from 1985 to 1992, we compare global equity issues to a control group of issues offered exclusively in the domestic U.S. market. We provide evidence on the direct issue costs (underwriting costs and fees) and the indirect information costs of these offers. After controlling for firm and issue characteristics, we find that the direct costs of issue are significantly lower on average for global issues. In addition, the negative stock price reaction that equity issue typically evokes is reduced when firms have a foreign tranche in their offer. Overall, the results suggest that the segmentation of international markets offers certain issuers an opportunity to raise equity capital at advantageous terms.
Publisher:
ISBN:
Category :
Languages : en
Pages :
Book Description
If global capital markets are less than completely integrated, firms can create value for investors by issuing equity in foreign markets. We develop a theoretical framework to show that the offer price for an issuer's shares is increased by wider distribution of the shares in multiple markets. Using a sample of 276 global equity offerings from 1985 to 1992, we compare global equity issues to a control group of issues offered exclusively in the domestic U.S. market. We provide evidence on the direct issue costs (underwriting costs and fees) and the indirect information costs of these offers. After controlling for firm and issue characteristics, we find that the direct costs of issue are significantly lower on average for global issues. In addition, the negative stock price reaction that equity issue typically evokes is reduced when firms have a foreign tranche in their offer. Overall, the results suggest that the segmentation of international markets offers certain issuers an opportunity to raise equity capital at advantageous terms.