Determinants of underwriting spreads internationally: Evidence from SEOs

被引：0

作者：

Gupta, Manu ^{[1
]}

Prakash, Puneet ^{[1
]}

Rangan, Nanda K. ^{[1
]}

机构：

[1] Virginia Commonwealth Univ, Dept Finance Insurance & Real Estate, Richmond, VA 23284 USA

来源：

JOURNAL OF MULTINATIONAL FINANCIAL MANAGEMENT | 2017年 / 41卷

关键词：

Political economy; Legal enforcement; Equity and bond markets; Securities litigation; Stock market valuation; Seasoned equity offering; SEASONED EQUITY OFFERINGS; INITIAL PUBLIC OFFERINGS; CORPORATE GOVERNANCE; FINANCE; GROWTH; STOCK; RISK; LAW; EXPROPRIATION; REPUTATION;

D O I：

10.1016/j.mulfin.2017.05.006

中图分类号：

F8 [财政、金融];

学科分类号：

0202 ;

摘要：

We examine the effect of country-level factors on gross underwriting spreads in seasoned equity offerings. Controlling for issue, issuer and underwriter characteristics, we find that primary legal factors that impose direct court costs on underwriters significantly increase spreads. However, secondary legal, economic, and governance factors do not impact spreads significantly. We provide corroborative evidence that preemptive rights lower spreads, and thus, rights offering price concession is a form of transaction cost. We conclude that the non-primary legal factors not captured by market risk are likely incorporated at the time of underwriter-issuer contracting. (C) 2017 Elsevier B.V. All rights reserved.

引用

页码：1 / 22

页数：22

共 50 条

[1] The level of representative underwriting and the underwriting costs of REIT SEOs
Bairagi, Ranajit Kumar
Dimovski, William
[J]. JOURNAL OF PROPERTY INVESTMENT & FINANCE, 2012, 30 (01) : 18 - +
[2] The Impact of Commercial Banks on Underwriting Spreads: Evidence from Three Decades
Kim, Dongcheol
Palia, Darius
Saunders, Anthony
[J]. JOURNAL OF FINANCIAL AND QUANTITATIVE ANALYSIS, 2008, 43 (04) : 975 - 1000
[3] Evidence of early-mover advantages in underwriting spreads
Carow, KA
[J]. JOURNAL OF FINANCIAL SERVICES RESEARCH, 1999, 15 (01) : 37 - 55
[4] Evidence of Early-Mover Advantages in Underwriting Spreads
Kenneth A. Carow
[J]. Journal of Financial Services Research, 1999, 15 : 37 - 55
[5] Determinants of Underwriting Fees by New Entrant Banks: Evidence from the Japanese IPO Underwriting Market
Koda, Keiichiro
Yamada, Kazuo
[J]. FINANCIAL MANAGEMENT, 2018, 47 (02) : 285 - 307
[6] The determinants of CDS spreads: evidence from the model space
Matthias Pelster
Johannes Vilsmeier
[J]. Review of Derivatives Research, 2018, 21 : 63 - 118
[7] The determinants of CDS spreads: evidence from the model space
Pelster, Matthias
Vilsmeier, Johannes
[J]. REVIEW OF DERIVATIVES RESEARCH, 2018, 21 (01) : 63 - 118
[8] The Determinants of the Nondefaultable Spreads of Corporate Bonds: Evidence from China
Yang, Baochen
Wu, Zijian
Su, Yunpeng
[J]. DISCRETE DYNAMICS IN NATURE AND SOCIETY, 2021, 2021
[9] The determinants of bank CDS spreads: evidence from the financial crisis
Chiaramonte, Laura
Casu, Barbara
[J]. EUROPEAN JOURNAL OF FINANCE, 2013, 19 (09): : 861 - 887
[10] Determinants of municipal loan spreads: empirical evidence from Switzerland
Sigrist F.
Köchli P.
Lengwiler C.
[J]. Financial Markets and Portfolio Management, 2018, 32 (2) : 143 - 166

← 1 2 3 4 5 →