The Signalling Process in Initial Public Offerings
This study uses a sample of Singapore IPOs to examine the signalling process at the time of a new issue of shares. The multiple regression analysis results support three testable implications of the Grinblatt and Hwang model. We show that (1) the value of the firm is positively related to the fractional holding of the issuer, (2) the degree of underpricing is an increasing function of the variance, and (3) firm value is positively related to the degree of underpricing.
Asia Pacific Journal of Management
KOH, Francis; LIM, Young Sain, Joseph; and Neo, Chin.
The Signalling Process in Initial Public Offerings. (1992). Asia Pacific Journal of Management. 9, (2), 151-165. Research Collection Lee Kong Chian School Of Business.
Available at: http://ink.library.smu.edu.sg/lkcsb_research/1140