Disproportionate ownership structure and IPO long-run performance of non-SOEs in China |
| |
Institution: | 1. Shanghai University of Finance and Economics, China;2. Singapore Management University, Singapore;3. University of Wollongong, Australia |
| |
Abstract: | This paper examines the relationship between ownership structures and IPO long-run performance of non-SOEs in China. Although non-SOEs underperform the market in general after IPO but the poor performance is mainly caused by the IPOs with ownership control wedge. Non-SOEs with one share one vote structure outperform those with control-ownership wedge by 30% for three years post-IPO performance in adjusted buy-and-hold returns. Non-SOEs with control-ownership wedge have higher frequency of undertaking value-destroying related party transactions. These findings suggest that non-SOEs need to improve corporate governance such as disproportionate ownership structure to better safeguard the interest of long-run shareholders. |
| |
Keywords: | |
本文献已被 ScienceDirect 等数据库收录! |