Information risk and underwriter switching in SEOs: Evidence from China

• Main Authors: LUO, Wei, RAO, Pingui, YUE, Heng
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2010
• Subjects: information risk; underwriter reputation; underwriter switching; state ownership; seasoned equity offerings; Information Security; Management Information Systems
• Online Access: https://ink.library.smu.edu.sg/soa_research/1582; https://ink.library.smu.edu.sg/context/soa_research/article/2609/viewcontent/Luo_et_al_2010_Journal_of_Business_Finance___Accounting__1_.pdf
• Institution: Singapore Management University

In this paper we examine whether information risk affects underwriter switching in a seasoned equity offering (SEO) process. Building on previous research, we hypothesize that SEO firms and underwriters associate with one another by mutual choice, and firms with a low degree of information risk tend...