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.
Asian Studies | Finance and Financial Management
Proceedings of the Second International Conference on Asia Pacific Financial Markets
KOH, Francis; LIM, Young Sain, Joseph; and NEO, Chin.
The Signalling Process in Initial Public Offerings. (1991). Proceedings of the Second International Conference on Asia Pacific Financial Markets. 563-573. Research Collection Lee Kong Chian School Of Business.
Available at: http://ink.library.smu.edu.sg/lkcsb_research/1218