underpricing of initial public offerings (IPOs) that is observed. I suggest that the quantitative magnitude of underpricing can be … with underwriting rather than on maximizing the offer proceeds, and there is limited competition between underwriters … except for the smallest companies going public, IPOs have long-run returns that are similar to those on seasoned stocks with …

during the bookbuilding process and the subsequent performance of IPOs in the immediate aftermarket. We show that, to retail …India has the unique distinction of being the only country that releases information on the IPO bookbuilding process … investors, institutional bids in the early days of the bookbuilding process offer a coherent signal about the quality of the IPO …

bookbuilding process and their demand for allocations in the IPO. Our model generates several new predictions. First, investors … require more underpricing to truthfully reveal positive private information in bear markets than in bull markets (the … incentive effect). Second, the fraction of positive private signals and of underpriced IPOs is increasing in market returns (the …

This paper analyses the role of venture capitalists in Italian Initial Public Offerings (IPOs). Between 1999 and 2012 … venture capital backed IPOs are on average less underpriced than non-venture backed IPOs. By using both a matching and a … underpricing difference is actually due to the causal effect of venture capital backing and that the raw comparison of the sample …

find that IPOs with high levels of uncertain text have higher first-day returns, absolute offer price revisions, and … subsequent volatility. Our findings provide empirical evidence for the theoretical models of uncertainty, bookbuilding, and …

underwriters' valuation and underpricing in 113 firms going public on Borsa Istanbul. It argues that underwriter discretion in the … valuation is crucial to underpricing in the Turkish market, where fixed price is the dominant method of offering and retail … initial returns. One standard deviation increase in deliberate discounts is associated with a 30.4% reduction in underpricing …

Under the bookbuilding procedure, an investment banker solicits bids for shares from institutional investors prior to … results support the winner's curse theories and the justifications for the use of bookbuilding. …

When using a formal bookbuilding procedure, underwriters observe the demand curves of investors as stated in the ‘book … types, such as large bidders and frequent bidders. Aftermarket returns in IPOs are positively correlated with …