Tajuddin, Ahmad Hakimi and Abdullah, Nur Adiana Hiau and Taufil Mohd, Kamarun Nisham (2016) Does growth opportunity matter in explaining the over-subscription phenomena of Malaysian IPO? In: 3rd Global Conference on Business and Social Sciences (GCBSS-2016), 16-17 Disember 2015, Kuala Lumpur.

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Abstract

The over-subscription ratio of IPO prior to listing is an anomaly in countries that employed fixed price mechanism.According to the signaling theory argument, IPOs of good quality attract subscription from investors.An analysis was made to observe whether IPOs with growth opportunity (good quality) account for over-subscription. Using multivariate regression, it is found that there is a significant negative relationship between growth opportunity and over-subscription ratio. A significant negative coefficient of growth opportunity suggests that companies with high growth opportunity tend to have low risks and are not overly subscribed by investors as they provide low initial returns.

Item Type:	Conference or Workshop Item (Paper)
Additional Information:	Published in Procedia - Social and Behavioral Sciences, Volume 219, 31 May 2016, Pages 748–754
Uncontrolled Keywords:	Oversubscription; growth; signaling; IPOs; size; leverage; institutional investors; initial returns
Subjects:	H Social Sciences > HF Commerce > HF5601 Accounting
Divisions:	School of Economics, Finance & Banking
Depositing User:	Prof. Dr. Nur Adiana Hiau Abdullah
Date Deposited:	14 Aug 2016 08:42
Last Modified:	14 Aug 2016 08:42
URI:	https://repo.uum.edu.my/id/eprint/18574

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