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Factors Influencing IPO Decisions. Do Corporate Managers Use Market and Corporate Timing? A Survey

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  • Szyszka Adam

    (Capital Markets Department, Warsaw School of Economics)

Abstract

This paper explores the motives for Initial Public Offerings (IPOs); that is, whether market mispricing or the behavioral inclinations of investors and analysts impact corporate decisions about rising equity, with a particular focus on market and corporate timing practices of managers going public. To do so, an anonymous survey was conducted of 166 managers of firms that recently went public at the Warsaw Stock Exchange in Poland (being the second most active IPO market in Europe, after London). The resulting data reveals that managers attempt to time bullish markets and good historical corporate financial results.

Suggested Citation

  • Szyszka Adam, 2014. "Factors Influencing IPO Decisions. Do Corporate Managers Use Market and Corporate Timing? A Survey," International Journal of Management and Economics, Warsaw School of Economics, Collegium of World Economy, vol. 42(1), pages 30-39, June.
    • Handle: RePEc:vrs:ijomae:v:42:y:2014:i:1:p:30-39:n:2
    DOI: 10.2478/ijme-2014-0041
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    References listed on IDEAS

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    More about this item

    Keywords

    Behavioral corporate fnance; managerial biases; IPO; going public;
    All these keywords.

    JEL classification:

    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill
    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance

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