The pricing of initial public offering and market efficiency

• المؤلف الرئيسي: CHIRAPHOL, Chiyachantana N.
• التنسيق: text
• اللغة: English
• منشور في: Institutional Knowledge at Singapore Management University 2021
• الموضوعات: Initial Public Offerings; Long-run Underperformance; Market Efficiency; Stock Exchange of Thailand; Asian Studies; Finance and Financial Management; Portfolio and Security Analysis
• الوصول للمادة أونلاين: https://ink.library.smu.edu.sg/lkcsb_research/6783; https://ink.library.smu.edu.sg/context/lkcsb_research/article/7782/viewcontent/Chiraphol_N._Chiyachantana_REF.pdf
• المؤسسة: Singapore Management University

This study investigates long-run performance of Thai initial public offerings (IPOs). To examine the longrun performance of Thai IPOs, we compute buy-and-hold abnormal returns and cumulative abnormal returns for two years after the IPOs. We find strong evidence of long run underpricing in Thai market. Specifically, the average buy-and-hold abnormal returns and cumulative abnormal returns are 64.5% and 18.4% respectively. However, our multi-variate analysis does not indicate a strong relation between long-run underperformance and firm-specific factors, such as firm size, firm age, investment banker reputation and firm profitability.