Global M&A activity seen holding up in 2016

2016 ◽  
Keyword(s):  
Initial Public Offerings ◽  
The United States ◽  
Investment Banks ◽  
Content Type ◽  
Public Offerings ◽  
The Third ◽  
Systemic Risks ◽  
European Banks ◽  
Strong Performance ◽  
First Time

Subject Trends in global M&A activity. Significance The global sell-off of banking stocks today underlines the importance to investment banks' earnings of merger and acquisition (M&A) activity staying buoyant. Global M&A activity increased in 2015 for the third straight year, topping 5.0 trillion dollars for the first time, according to Dealogic. This is up 37% from 3.7 trillion dollars in 2014 and bests the record set in 2007. M&A fees boosted US banks' earnings, partly offsetting trading losses in volatile markets and the slowdown in initial public offerings (IPO). Results for European banks lagged. Impacts Shareholders will want strong performance, putting pressure on banks to create deals, especially in bearish global equities markets. Bank stocks will underperform, due to market concerns over fundamentals and lurking systemic risks. The United States is likely to retain its ranking as top M&A region in 2016.

A bibliometric analysis of managerial finance: a retrospective

2020 ◽  
Vol 46 (11) ◽  
pp. 1495-1517
Author(s):  
H. Kent Baker ◽  
Satish Kumar ◽  
Nitesh Pandey
Keyword(s):  
Bibliometric Analysis ◽  
Initial Public Offerings ◽  
Temporal Analysis ◽  
The United States ◽  
Bibliographic Coupling ◽  
Content Type ◽  
Public Offerings ◽  
The United Kingdom ◽  
Financial Decision ◽  
Number Of Citations

PurposeManagerial finance (MF) started publication in 1975 and celebrated its 45th anniversary in 2019. The purpose of this study is to provide a bibliometric analysis of MF between 1996 and 2019.Design/methodology/approachThis study uses the Scopus database to analyze the most frequent authors in MF along with their affiliated institutions and countries. It also identifies the most often cited MF articles. This study uses bibliometric indicators to analyze productivity and stature of MF. It also uses such tools as bibliographic coupling, keyword analysis and coauthorship analysis to analyze MF. Further, the study provides a temporal analysis of MF publishing across different ownership periods.FindingsMF publishes between 60 and 70 articles each year and its number of citations steadily grows. Although contributors to the journal come from around the globe, they most often are affiliated with the United States, the United Kingdom and Greece. Temporal analysis of journal's themes reveals that it has expanded its scope from accounting research to a much wider array of finance topics. Bibliographic coupling network analysis shows that major themes published in MF involve stock markets, corporate governance, banking, financial decision-making and initial public offerings.Research limitations/implicationsDue to the unavailability of bibliometric data, the analysis excludes an analysis of MF between 1975 and 1995.Originality/valueThis study provides the first overview of the MF's publication and citation trends as well as its thematic structure. It also suggests future directions that the journal might take.

The Oxford Handbook of IPOs

2018 ◽  
Keyword(s):  
United States ◽  
Initial Public Offerings ◽  
Financial Regulation ◽  
Large Body ◽  
Public Information ◽  
The United States ◽  
Minimum Size ◽  
Stock Exchanges ◽  
Public Offerings ◽  
Firm’S Life Cycle

Firms generally begin as privately owned entities. When they grow large enough, the decision to go public and its consequences are among the most crucial times in a firm’s life cycle. The first time a firm is a reporting issuer gives rise to tremendous responsibilities about disclosing public information and accountability to a wide array of retail shareholders and institutional investors. Initial public offerings (IPOs) offer tremendous opportunities to raise capital. The economic and legal landscape for IPOs has been rapidly evolving across countries. There have been fewer IPOs in the United States in the aftermath of the 2007–2009 financial crisis and associated regulatory reforms that began in 2002. In 1980–2000, an average of 310 firms went public every year, while in 2001–2014 an average of 110 firms went public every year. At the same time, there are so many firms that seek an IPO in China that there has been a massive waiting list of hundreds of firms in recent years. Some countries are promoting small junior stock exchanges to go public early, and even crowdfunding to avoid any prospectus disclosure. Financial regulation of analysts and investment banks has been evolving in ways that drastically impact the economics of going public—in some countries, such as the United States, drastically increasing the minimum size of a company before it can expect to go public. This Handbook not only systematically and comprehensively consolidates a large body of literature on IPOs, but provides a foundation for future debates and inquiry.

scholarly journals Introduction

2018 ◽  
pp. xiv-24
Author(s):  
Douglas Cumming ◽  
Sofia Johan
Keyword(s):  
Initial Public Offerings ◽  
Service Providers ◽  
Investment Banks ◽  
Public Offerings ◽  
Reverse Mergers ◽  
Short And Long Term ◽  
Long Term Performance ◽  
Term Performance ◽  
Special Purpose Acquisition Companies

The worldwide landscape for raising firm capital from Initial Public Offerings (IPOs) has significantly evolved over the last few decades. This introductory chapter reviews more recent research on initial public offerings. The Oxford Handbook of IPOs comprises twenty-nine chapters from authors around the world. The chapters describe the economics of going public, short- and long-term performance of IPOs, regulation of IPOs, IPOs versus acquisitions, reverse mergers, special purpose acquisition companies, service providers including investment banks and auditors, venture capital funds, international differences in IPOs, and crowdfunding. The Introduction summarizes the chapters that appear in the Handbook and highlight research trends on topic.

scholarly journals Sins for some, virtues for others: Media coverage of investment banks’ misconduct and adherence to professional norms during the financial crisis

2018 ◽  
Vol 72 (9) ◽  
pp. 1436-1463 ◽  
Author(s):  
Thomas J Roulet
Keyword(s):  
Financial Crisis ◽  
Initial Public Offerings ◽  
Media Coverage ◽  
Investment Banks ◽  
Professional Misconduct ◽  
Public Offerings ◽  
Professional Norms ◽  
The Face ◽  
Corporate Customers

Why does professional misconduct persist in the face of media scrutiny? In this study, we explain how professional norms can be at odds with societal norms and how the behaviours they trigger can be perceived as misconduct. Most audiences tend to disapprove of wrongdoings, but specific stakeholders may interpret this disapproval as an indication of the focal organization’s level of adherence to professional norms. Building on mixed methods, we explore the case of the investment banking industry during the financial crisis and suggest that corporate customers were favourably biased by the reporting of banks’ misconduct in the print media as they linked it to the banks’ quality of service. We capture the extent to which banks are associated with misconduct, signalling their adherence to negatively perceived professional norms. We then look at how such signalling affects the likelihood for banks to be invited into initial public offerings syndicates. Our findings show that the more banks are disapproved of for their wrongdoings, the more likely they are to be selected to join a syndicate. This study suggests that the coverage of misconduct can actually act as a positive signal providing banks with incentives to engage in what is broadly perceived as professional misconduct.

EU may struggle to enforce social standards via trade

2021 ◽  
Keyword(s):  
United States ◽  
The United States ◽  
Environmental Standards ◽  
Content Type ◽  
Social Standards ◽  
Investment Agreement ◽  
Trade Deals ◽  
First Time ◽  
Trade Partners ◽  
The Eu

Significance In 2020 the European Commission appointed a Chief Trade Enforcement Officer for the first time, signalling that Brussels is intent on enhancing its capacity to enforce standards agreed in trade deals. However, the EU's experience with South Korea suggests that holding trade partners to account over breaching standards will be difficult. Impacts Relations with trade partners could deteriorate if the EU is seen to be aggressive in enforcing its standards. Concern over China’s willingness to improve labour and environmental standards could impede ratification the EU-China investment agreement. The EU may be reluctant to sanction some partners, such as the United States, that breach labour or environmental standards.

Why Do People Migrate?

On the Move ◽  
2016 ◽  
Author(s):  
Filiz Garip
Keyword(s):  
United States ◽  
Rural Communities ◽  
Urban Areas ◽  
The United States ◽  
Family Ties ◽  
Small Minority ◽  
The Third ◽  
Majority Group ◽  
First Time ◽  
Over Time

This chapter provides an overview of the migration field, and a brief review of Mexico–U.S. migration flows up to 1965, the year the analysis here begins. It describes the data and methods that led the author to discover four groups among first-time migrants from Mexico to the United States between 1965 and 2010. The first cluster—mostly uneducated and poor men from rural communities—was the majority in the 1970s but dropped to a small minority by the 1990s. The second cluster—many of them teenage boys from relatively better-off families—peaked in the 1980s, becoming the majority group at that time, but declined consistently in size thereafter. The third cluster—mostly women with family ties to former migrants—was increasing slowly in size until it experienced a sudden spike in the early 1990s. And the fourth cluster—mostly educated men from urban areas—grew persistently over time, grabbing the majority status among all first-time migrants in the early 1990s.

IPO valuation using the price-multiple methods: evidence from Malaysia

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chui Zi Ong ◽  
Rasidah Mohd-Rashid ◽  
Kamarun Nisham Taufil-Mohd
Keyword(s):  
Initial Public Offerings ◽  
Stock Exchange ◽  
Least Square ◽  
Multiple Methods ◽  
Cross Sectional ◽  
Ols Regression ◽  
Content Type ◽  
Public Offerings ◽  
Ordinary Least Square ◽  
Valuation Method

Purpose This study aims to investigate the valuation accuracy of Malaysian initial public offerings (IPOs) by using price-multiple methods. Design/methodology/approach Cross-sectional data including 467 IPOs listed on the Malaysian stock exchange were used for the period of 2000–2017. This study used univariate ordinary least square (OLS) regression to analyse the relationship between IPOs’ price-multiples and comparable firms’ price-multiples. The test of valuation accuracy was conducted via computing valuation errors by segregating the sample into two groups: fixed-price IPOs and book-built IPOs. Furthermore, multiple OLS regression was used to examine the influence of IPO valuation on underpricing. Findings The findings of the results suggested that IPOs price-to-earnings (P/E), price-to-book (P/B) and price-to-sales (P/S) multiples were positively related to the median P/E, P/B and P/S multiples of five comparable firms matched by industry and revenues. The P/S multiple was shown to be the most significant valuation method, specifically in book-built IPOs. The findings indicated that those firms that had a lower valuation in comparison to the comparable firms were inclined to underprice their IPOs to allure investors to subscribe IPOs. In addition, book-built IPOs that had fair valuations were inclined to generate higher initial returns for investors. Practical implications The findings of this study observed implications for underwriters in avoiding the mis-valuation issue by considering the book-building mechanism. Originality/value This study attempted to explore the suitability of the valuation method to value IPOs in Malaysia.

Die Fehlbewertung junger Aktiengesellschaften beim Gang an die Börse – Ursachen und wirtschaftspolitische Konsequenzen

2003 ◽  
Vol 52 (1) ◽  
Author(s):  
Christine Ploog ◽  
Michael Stolpe
Keyword(s):  
Market Power ◽  
Initial Public Offerings ◽  
Investment Banks ◽  
Policy Options ◽  
Public Offerings ◽  
Speculative Bubbles ◽  
Privatisation Programme ◽  
Welfare Implications

AbstractThis paper discusses policy options to reduce underpricing in initial public offerings (IPOs). It surveys recent theoretical insights into the causes and welfare implications of underpricing and reviews evidence on the signalling hypothesis, the winner’s curse model, the role of underwriters in assessing issuing firms’ future profitability and the genesis of speculative bubbles in IPO markets. The paper concludes that governments should curtail the abuse of market power in underwriting by prohibiting the allocation of shares to insiders and by reducing the incentives for investment banks to exploit underpriced share issues in order to cross-subsidise unrelated lines of business. Moreover, governments should seek to stabilize the IPO market by committing themselves to regular equal-sized issues of shares in government assets as part of a long-term privatisation programme.

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