Underwriter deal pipeline and the pricing of IPOs

• 成果类型: Article
• 署名作者: Boeh, Kevin K.; Dunbar, Craig
• 署名单位: State University System of Florida; University of Florida; Western University (University of Western Ontario)
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/j.jfineco.2015.08.018
• 发表日期: 2016
• 页码: 383-399
• 关键词: initial public offerings; First pricing; Underwriters; Syndicates; IPO markets; Underpricing

摘要

This study examines how initial public offering (IPO) pricing is affected by the pipeline of deals in registration, measured at the underwriter level. Examining IPOs from 2002 to 2013, we find evidence that measures of the IPO bookrunner's pipeline significantly affect pricing decisions. The evidence is mostly consistent with market power and agency theories, which argue that underwriters use a young or growing pipeline to push for higher IPO first day returns. (C) 2016 Elsevier B.V. All rights reserved.