scholarly journals Motif Go Public, Herding, Ukuran Perusahaan, Dan Underpricing Pada Pasar Modal Indonesia

2010 ◽  
Vol 3 (1) ◽  
Author(s):  
Fitri Ismiyanti ◽  
Rohmad Fuad Armansyah
Keyword(s):  
Initial Public Offering ◽  
Stock Exchange ◽  
Going Public ◽  
Day Trading ◽  
Asymmetry Information ◽  
The World ◽  
Public Offering ◽  
Offering Price ◽  
Significant Size ◽  
Exchange Data

Underpricing become a phenomenon which often occurs by companies during Initial Public Offering in every country in the world, which offering price lower than closing price on the first day trading on the stock exchange. According to Rock (1982), asymmetry information of an IPO company leads to underpricing phenomena, where the information according to the company are not evenly distributed among investors. This asymmetry information emerging distribution of uncertainty among investors that leads to underpricing. The objective of this research is to test the influence of motive of company going public, herding in stock market, and size of the company to the degree of underpricing using sample of 257 companies listed during year 1990 to June 2009 on the Indonesian Stock Exchange. Sample is taken by using purposive sampling with criteria as underpriced stocks and the stocks are not delisting overall from stock exchange. Data are analyzed using multiple regressions and path analysis to test the relation between motive of company going public, herding, and size of the company to the degree of underpricing. Pursuant to the analysis, motive of company going public and herding have positively influence on the degree of underpricing but statistically not significant. Size of the company which measure using total asset have negatively influence on the degree of underpricing and statistically significant on the first day trading on the stock exchange.

scholarly journals PENGARUH RETURN ON ASSET, FINANCIAL LEVERAGE, DAN UKURAN PERUSAHAAN TERHADAPUNDERPRICING PADA PERUSAHAAN YANG MELAKUKAN INITIAL PUBLIC OFFERING (IPO) DI BURSAEFEK INDONESIA

2016 ◽  
Vol 11 (2) ◽  
pp. 35 ◽  
Author(s):  
Putu Widhiastina ◽  
Rida Prihatni
Keyword(s):  
Initial Public Offering ◽  
Stock Exchange ◽  
Hypothesis Test ◽  
Company Size ◽  
Financial Leverage ◽  
Return On Assets ◽  
Result Show ◽  
The Difference ◽  
Public Offering ◽  
Offering Price

This study aimed to determine the influence of The Influence of return on asset, financial leverage, and size of company on underpricing. Underpricing is measured by division the difference between clossing prices and offering price with offering price, return on asset is measured by division net profit with total asset, financial leverage is measured by division total debt with total equity and size of company is mesured with total sales in annual report company. This study took a sample of initial public offering company listed in Indonesia Stock Exchange during the years 2010-2013. The data obtained by purposive sampling techniques and using multiple regression analysis. Simultaneous hypothesis testing result show that return on asset, financial leverage and company size simultaneously affect the underpricing. The partial hypothesis test result show that retun on asset, financial leverage and company size have a significant affect the underpricing.    Keywords: Return On Assets, Financial Leverage, Company Size, Underpricing

scholarly journals INFORMASI AKUNTANSI DAN NON AKUNTANSI PADA FENOMENA UNDERPRICING YANG TERJADI SAAT PENAWARAN UMUM SAHAM PERDANA PADA PERUSAHAAN YANG TERDAFTAR DI BURSA EFEK INDONESIA

2017 ◽  
Vol 18 (3) ◽  
Author(s):  
Lydia Kurniawan
Keyword(s):  
Information Asymmetry ◽  
Initial Public Offering ◽  
Stock Exchange ◽  
Stock Exchanges ◽  
Ipo Underpricing ◽  
Return On Assets ◽  
True Value ◽  
Initial Return ◽  
The World ◽  
Public Offering

Abstract: In order to expand their business in several ways, for example companies can offer their shares to the general public. Underpricing is a phenomenon that often appears and is experienced by companies that conduct an Initial Public Offering on the various stock exchanges in the world, where the IPO price is set lower than the true value of the company. Underpriced shares often occur because of information asymmetry or inequality of information that occurs in the group of investors who have information and a group of investors who do not have the information about the prospects of the issuer company. This study examined whether the age of the firm, firm size, and return on assets (ROA) affect the level of IPO underpricing on the company at the Indonesian Stock Exchange. This study was measured by Initial Return underpricing. The objects in this study are 32 companies that did the initial public offering in 2002 to 2004 at the Indonesia Stock Exchange and experienced under pricing . Conclusions from the study indicate that the companies age and their size variables are not shown to affect the dependent variable Underpricing, while the variable Return on Assets (ROA) Under pricing are shown to affect the dependent variable at a significant level of 5%.

Pengaruh Reputasi Underwriter, Umur Perusahaan, dan Persentase Penawaran Saham 53 kepada Publik terhadap Underpricing

2016 ◽  
Vol 8 (1) ◽  
pp. 53-74
Author(s):  
Maria Jeanne ◽  
Chermian Eforis
Keyword(s):  
Initial Public Offering ◽  
Stock Price ◽  
Stock Exchange ◽  
Secondary Data ◽  
Secondary Market ◽  
Financial Statement ◽  
Data Set ◽  
Multiple Regression Method ◽  
Underwriter Reputation ◽  
Public Offering

The objective of this research is to obtain empirical evidence about the effect of underwriter reputation, company age, and the percentage of share’s offering to public toward underpricing. Underpricing is a phenomenon in which the current stock price initial public offering (IPO) was lower than the closing price of shares in the secondary market during the first day. Sample in this research was selected by using purposive sampling method and the secondary data used in this research was analyzed by using multiple regression method. The samples in this research were 72 companies conducting initial public offering (IPO) at the Indonesian Stock Exchange in the period January 2010 - December 2014; perform initial offering of shares; suffered underpricing; has a complete data set forth in the company's prospectus, IDX monthly statistics, financial statement and stock price site (e-bursa); and use Rupiah currency. Results of this research were (1) underwriter reputation significantly effect on underpricing; (2) company age do not effect on underpricing; and (3) the percentage of share’s offering to public do not effect on undepricing. Keywords: company age, the percentage of share’s offering to public, underpricing, underwriter reputation.

APAKAH FAKTOR EKSTERNAL MEMPREDIKSI UNDERPRICING LEBIH BAIK DIBANDINGKAN FAKTOR INTERNAL? STUDI INITIAL PUBLIK OFFERING DI BEI TAHUN 2009-2017

2020 ◽  
Vol 7 (1) ◽  
Author(s):  
Saefudin Saefudin ◽  
Tri Gunarsih
Keyword(s):  
Interest Rates ◽  
Initial Public Offering ◽  
Stock Exchange ◽  
Sample Selection ◽  
Secondary Data ◽  
Secondary Market ◽  
Company Size ◽  
Negative Effect ◽  
Underwriter Reputation ◽  
Public Offering

Underpricing is a phenomenon that still occurs in the Indonesian capital market, where the offering price of shares in the primary market is lower than the opening price or closing price on the first day on the secondary market. This study aims to examine the effect of Return On Assets (ROA), Debt to Equity Ratio (DER), company size, underwriter reputation, age, and interest rates on the underpricing of shares in companies’s Initial Public Offering (IPO) listing on the Indonesia Stock Exchange (BEI) in 2009 to 2017. The population in this study are companies that conduct IPOs on the BEI period 2009 to 2017. The sample selection in this study uses a purposive sampling method, based on certain criteria. The sample in this study were 183 underpricing companies from 205 companies conducting IPO in the period 2009 to 2017. The data used in this study used secondary data. The multiple regression analysis was implemented in this study. The results showed that DER, company size, and underwriter reputation did not significantly influence underpricing. While ROA, age and interest rates have a significant negative effect on underpricing. In this study, investors consider ROA, age, interest rates compared to DER, company size, and the reputation of the underwriter to invest in companies that make an IPO.Keywords: Underpricing, Initial Public Offering, and Indonesian Stock Exchange.

Alibaba Group Initial Public Offering: A Case Study of Financial Reporting Issues

2016 ◽  
Vol 31 (4) ◽  
pp. 449-460 ◽  
Author(s):  
Qing L. Burke ◽  
Tim V. Eaton
Keyword(s):  
New York ◽  
Initial Public Offering ◽  
Financial Reporting ◽  
Stock Exchange ◽  
Financial Accounting ◽  
Learning Needs ◽  
York Stock Exchange ◽  
Accounting Courses ◽  
Chinese Company ◽  
Public Offering

ABSTRACT In September 2014, the Chinese e-commerce giant Alibaba Group Holding Limited issued shares on the New York Stock Exchange, making it the world's largest initial public offering. This case examines different aspects of the Alibaba Group's initial public offering, including Alibaba Group's business model, financial reporting and corporate governance, as well as the macroeconomic, political, and legal environment in which the company operates. In addition, this case will familiarize students with the risks and opportunities for Chinese companies and investors when a Chinese company lists in the U.S. This case is suitable for financial accounting and international accounting courses at the intermediate and advanced levels for undergraduates as well as graduate students. The case is scalable, and instructors can choose from multiple sections of the case and different case questions to tailor the case difficulty to their students' learning needs.

The Law and Economics of the Going-Public Decision

2018 ◽  
pp. 26-51 ◽  
Author(s):  
Jay B. Kesten
Keyword(s):  
Initial Public Offering ◽  
Law And Economics ◽  
Turn Of The Millennium ◽  
Going Public ◽  
Public Offerings ◽  
Secular Decline ◽  
The Law ◽  
Public Offering ◽  
Macroeconomic Determinants ◽  
Public Decision

An initial public offering (IPO) is one of the most important events in the life cycle of a developing firm. The decision to “go public,” however, is complicated by the persistently cyclical market for public offerings. This chapter analyzes the macroeconomic determinants of IPO market cyclicality alongside the strategic and corporate governance considerations faced by private firms, arising from the costs and benefits of going public. The law and economics of the going-public decision also are relevant to the secular decline in IPOs since the turn of the millennium. This chapter evaluates several competing and complementary hypotheses that attempt to explain this phenomenon, each of which relies at least in part on the various features of the going-public decision-making process.

scholarly journals Determinants of intellectual capital disclosure in initial public offerings: case of Canadian firms

2016 ◽  
Vol 4 (1) ◽  
pp. 52 ◽  
Author(s):  
Hanen Ghorbel ◽  
Hela Elleuch
Keyword(s):  
Initial Public Offerings ◽  
Initial Public Offering ◽  
Intellectual Capital ◽  
Voluntary Disclosure ◽  
Audit Committee ◽  
Audit Quality ◽  
Stock Exchange ◽  
Multiple Regression Model ◽  
Reporting Practices ◽  
Public Offering

<p>The purpose of this paper is to investigate the determinants of intellectual capital information’s of firms that went through IPO.              Our sample includes 43 firms that IPOs listed in the Toronto Stock Exchange in 2012 of which the prospectuses for the initial public offering are available. Our study, unlike other studies focuses on the issuing prospectuses. The paper applied a disclosure index comprising of 78 items (Bukh and al (2005)) to quantify the amount of information regarding intellectual capital included in the IPO prospectuses of canadian firms. Multiple regression model and Correlation is used. The results revealed that the managerial ownership, the presence of an audit committee and industry are significantly associated with the voluntary disclosure of information about the intellectual capital in prospectuses. While firm size, age, the audit committee’ activity and audit quality do not affect disclosure. The results are interpreted in the light of the increasing importance of disclosing information on intellectual capital to the capital market a in case of IPO and constitute a contribution to the ongoing debate on corporate reporting practices.</p>

scholarly journals Peran Growth Opportunities, Free Cash Flow, dan Relative Issue Size dalam Reaksi Pasar terhadap Pengumuman Right Issue

The Winners ◽  
2007 ◽  
Vol 8 (1) ◽  
pp. 24
Author(s):  
Synthia Atas Sari ◽  
Hartiwi Prabowo
Keyword(s):  
Initial Public Offering ◽  
Stock Price ◽  
Stock Exchange ◽  
Free Cash Flow ◽  
Final Conclusion ◽  
Growth Opportunities ◽  
Normal Period ◽  
Stock Price Reaction ◽  
Test Market ◽  
Public Offering

Right issue is when a firm announces its plan to publicly offer additional shares of common stock after Initial Public Offering (IPO). The aim of this research are to test market stock price and examine the role of growth opportunities in stock price reaction to right issue announcement. Sample was taking from companies which been listed in Jakarta Stock Exchange and publish right issue from 1998 to 2005. To measure growth opportunities, the companies were divided into 2 groups, growth and mature. This classification using Tobin’s q proxy method (market-book value ratio). The research have final conclusion, that is at right issue announcement in Jakarta Stock Exchange, market give positive reaction and statistically significant, and so in normal period.

scholarly journals Initial Public Offering Allocations, Price Support, and Secondary Investors

2016 ◽  
Vol 51 (5) ◽  
pp. 1663-1688 ◽  
Author(s):  
Sturla Lyngnes Fjesme
Keyword(s):  
Initial Public Offering ◽  
Stock Exchange ◽  
Secondary Market ◽  
Theoretical Interest ◽  
Price Support ◽  
Media Attention ◽  
The Past ◽  
Price Manipulation ◽  
Public Offering

Tying initial public offering (IPO) allocations to after-listing purchases of other IPO shares as a form of price support has generated much theoretical interest and media attention. Price support is price manipulation and can reduce secondary investor return. In the past, obtaining data to investigate price support has proven to be difficult. I document that price support is harming secondary investor return using new data from the Oslo Stock Exchange. I also show that investors who engage in price support are allocated more future oversubscribed allocations, whereas harmed secondary investors significantly reduce their future participation in the secondary market.

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