Performance of IPOs on the Nordic Market: Factors affecting Nordic IPOs before and after the financial crisis
(2018) NEKN02 20181Department of Economics
- Abstract
- ABSTRACT
Title: Performance of IPOs on the Nordic Market Factors affecting Nordic IPOs before and after the financial crisis
Course: NEKN02, Economics: Master Essay 1 – Finance Program
Authors: Serajelden Aburawi, Leo Dajakaj
Advisors: Martin Striebomy, Anders Vilhelmsson
Key words: IPO, First-day return, Long-run performance, BHAR, Private Equity, Venture Capitalist
Purpose: This study aims to determine if there are any differences in the long-run performance and first-day returns between IPOs on the Nordic market with different ownership structures before and after the financial crisis of 2008. Furthermore, variables from previous studies have been chosen in order to study if they have an impact on the long-run... (More) - ABSTRACT
Title: Performance of IPOs on the Nordic Market Factors affecting Nordic IPOs before and after the financial crisis
Course: NEKN02, Economics: Master Essay 1 – Finance Program
Authors: Serajelden Aburawi, Leo Dajakaj
Advisors: Martin Striebomy, Anders Vilhelmsson
Key words: IPO, First-day return, Long-run performance, BHAR, Private Equity, Venture Capitalist
Purpose: This study aims to determine if there are any differences in the long-run performance and first-day returns between IPOs on the Nordic market with different ownership structures before and after the financial crisis of 2008. Furthermore, variables from previous studies have been chosen in order to study if they have an impact on the long-run performance of IPOs on the Nordic market
Methodology: The collected secondary data was analyzed through a quantitative method with a deductive approach
Theoretical perspectives: The previous studies that have been used in this paper have mainly concentrated on the long-run performance and first-day returns of IPOs on the European and US markets.
Empirical foundation: The basis for this study was data from firms on Nordic stock exchanges. The data was attained from Argentum, DataStream, Zephyr, annual-reports and firm-prospectuses
Conclusions: This paper find that there is significant difference in leverage ratio, market capitalization and offering size between private-equity backed IPOs, venture capital-backed IPOs and non-sponsored issues before and after the financial crisis. Further, private equity-backed IPOs in the sample outperform both venture capital-backed IPOs and non-sponsored issues in the long-run and have the lowest first-day returns before and after the financial crisis, however the differences are insignificant. Further, the independent variable offering size showed a significant negative impact on BHAR before and after the financial crisis and the independent dummy variable private equity showed a significant positive impact on BHAR after the financial crisis. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/8943731
- author
- Aburawi, Serajelden LU and Dajakaj, Leo LU
- supervisor
- organization
- course
- NEKN02 20181
- year
- 2018
- type
- H1 - Master's Degree (One Year)
- subject
- keywords
- IPO, First-day return, Long-run performance, BHAR, Private Equity, Venture Capitalist
- language
- English
- additional info
- We had 2 supervisors assigned to us. Anders Vilhelmsson and Martin Strieborny
- id
- 8943731
- date added to LUP
- 2018-07-02 15:38:26
- date last changed
- 2018-07-02 15:38:26
@misc{8943731,
abstract = {{ABSTRACT
Title: Performance of IPOs on the Nordic Market Factors affecting Nordic IPOs before and after the financial crisis
Course: NEKN02, Economics: Master Essay 1 – Finance Program
Authors: Serajelden Aburawi, Leo Dajakaj
Advisors: Martin Striebomy, Anders Vilhelmsson
Key words: IPO, First-day return, Long-run performance, BHAR, Private Equity, Venture Capitalist
Purpose: This study aims to determine if there are any differences in the long-run performance and first-day returns between IPOs on the Nordic market with different ownership structures before and after the financial crisis of 2008. Furthermore, variables from previous studies have been chosen in order to study if they have an impact on the long-run performance of IPOs on the Nordic market
Methodology: The collected secondary data was analyzed through a quantitative method with a deductive approach
Theoretical perspectives: The previous studies that have been used in this paper have mainly concentrated on the long-run performance and first-day returns of IPOs on the European and US markets.
Empirical foundation: The basis for this study was data from firms on Nordic stock exchanges. The data was attained from Argentum, DataStream, Zephyr, annual-reports and firm-prospectuses
Conclusions: This paper find that there is significant difference in leverage ratio, market capitalization and offering size between private-equity backed IPOs, venture capital-backed IPOs and non-sponsored issues before and after the financial crisis. Further, private equity-backed IPOs in the sample outperform both venture capital-backed IPOs and non-sponsored issues in the long-run and have the lowest first-day returns before and after the financial crisis, however the differences are insignificant. Further, the independent variable offering size showed a significant negative impact on BHAR before and after the financial crisis and the independent dummy variable private equity showed a significant positive impact on BHAR after the financial crisis.}},
author = {{Aburawi, Serajelden and Dajakaj, Leo}},
language = {{eng}},
note = {{Student Paper}},
title = {{Performance of IPOs on the Nordic Market: Factors affecting Nordic IPOs before and after the financial crisis}},
year = {{2018}},
}