Working paper
Initial Public Offerings Over the Industry Life Cycle
SSRN
08/28/2018
DOI: 10.2139/ssrn.3239726
Abstract
We provide new evidence on IPOs over the industry life cycle. Less innovative, financially constrained firms seek public equity earlier in an industry's life cycle. Moreover, average profitability of early IPOs is lower when more private capital flows to the industry early in its growth phase. Our results suggest that availability of private capital enables better-performing firms to avoid early public issuance without incurring a long-term product market disadvantage. However, delayed IPOs carry a cost for public investors. By the time late issuers tap public markets, the period of high market-share growth and high returns for equity investors has passed
Details
- Title: Subtitle
- Initial Public Offerings Over the Industry Life Cycle
- Creators
- Amrita Nain - University of IowaJie Ying
- Resource Type
- Working paper
- Publisher
- SSRN
- DOI
- 10.2139/ssrn.3239726
- Number of pages
- 55 pages
- Language
- English
- Date posted
- 08/28/2018
- Academic Unit
- Finance
- Record Identifier
- 9984380699902771
Metrics
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