Pros and cons of initial public offerings

The objective of this paper is to explain the pros and cons of going public as well as the factors considered by the firms in their decision making process. This study attempts to highlight the actual costs and benefits considered by the firms and their relative importance as perceived by the firms....

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Bibliographic Details
Main Authors: Chan, Joseph Wai Meng, Khoo, Kwee Lan, Tay, Seng Khee
Other Authors: Chong Beng Soon
Format: Final Year Project
Language:English
Published: 2014
Subjects:
Online Access:http://hdl.handle.net/10356/55482
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Institution: Nanyang Technological University
Language: English
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Summary:The objective of this paper is to explain the pros and cons of going public as well as the factors considered by the firms in their decision making process. This study attempts to highlight the actual costs and benefits considered by the firms and their relative importance as perceived by the firms. To achieve this objective, 67 questionnaires were sent out to Singapore companies that have gone public in the last 7 years, from 1987 to 1993. The questionnaire provided a list of the costs and benefits which we feel may be important. The financial controllers of the firms, to whom the questionnaires were addressed, would then rank the relative importance of these factors.