Title

Short-Term Performance of US-Bound Chinese IPOs

Abstract

Firms from emerging markets, including China, increasingly seek to raise capital outside of their home markets. We examine the short-term performance of U.S.-bound Chinese initial public offerings (IPOs) and find that these IPOs have significantly lower underpricing than a matched sample of U.S. counterparts. We also find that the magnitude of IPO underpricing for U.S.-bound Chinese firms is positively related to revisions in offer price.

Department(s)

Finance and General Business

Document Type

Article

DOI

https://doi.org/10.1111/fire.12062

Publication Date

2015

Journal Title

Financial Review

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