The Long-Term Effects of Cross-Listing, Investor Recognition, and Ownership Structure on Valuation

• 成果类型: Article
• 署名作者: King, Michael R.; Segal, Dan
• 署名单位: Bank of Canada; University of Toronto
• 刊物名称: REVIEW OF FINANCIAL STUDIES
• ISSN/ISSBN: 0893-9454
• DOI: 10.1093/rfs/hhn050
• 发表日期: 2009
• 页码: 2393
• 关键词: FIRMS INFORMATION ENVIRONMENT; UNITED-STATES IMPROVE; corporate governance; voting-rights; MARKET; entrenchment; accuracy; analysts; ADRs

摘要

We show that investor recognition and bonding associated with a U.S. cross-listing are distinct effects using a sample of Canadian firms. In contrast to the post-listing decline documented in the literature, we find that cross-listed firms with a single class of shares enjoy a permanent increase in valuation if they attract and maintain investor recognition over time. Valuations of firms that fail to widen their U.S. shareholder base return to pre-listing levels within two years. Cross-listed firms with dual-class shares exhibit a permanent increase in valuation regardless of the level of U.S. investor holdings, consistent with firm-level bonding.