How does better access to public firm disclosures affect IPO firm financing?
Abstract/Contents
- Abstract
- I study how improved access to public firm disclosures affects private firm financing through IPOs. Theory indicates that although improved access to public firm disclosures can reduce IPO investors' valuation uncertainty, it can also lead to increased adverse selection. This tension leaves the net effect of public disclosure improvements on IPO pricing uncertain. I exploit the introduction of EDGAR to examine this question empirically. The results show IPO firm underpricing decreases systematically as more public peer firms adopt EDGAR. This finding is stronger when IPO investors face more valuation uncertainty, when peer firms' information quality is high, when alternative information sources are scarce, and when peer disclosures contain more industry-wide information. Increased equity research coverage of public peers also contributes to this finding. Together, the results suggest better dissemination of public firm disclosures can reduce frictions for private firms seeking to procure equity capital.
Description
| Type of resource | text |
|---|---|
| Form | electronic resource; remote; computer; online resource |
| Extent | 1 online resource. |
| Place | California |
| Place | [Stanford, California] |
| Publisher | [Stanford University] |
| Copyright date | 2022; ©2022 |
| Publication date | 2022; 2022 |
| Issuance | monographic |
| Language | English |
Creators/Contributors
| Author | Shi, Shawn |
|---|---|
| Degree supervisor | Lee, Charles M |
| Degree supervisor | Marinovic, Iván |
| Thesis advisor | Lee, Charles M |
| Thesis advisor | Marinovic, Iván |
| Thesis advisor | Barth, Mary E |
| Thesis advisor | Gipper, Brandon |
| Thesis advisor | Kepler, John D |
| Degree committee member | Barth, Mary E |
| Degree committee member | Gipper, Brandon |
| Degree committee member | Kepler, John D |
| Associated with | Stanford University, Graduate School of Business |
Subjects
| Genre | Theses |
|---|---|
| Genre | Text |
Bibliographic information
| Statement of responsibility | Shawn Xiaofeng Shi. |
|---|---|
| Note | Submitted to the Graduate School of Business. |
| Thesis | Thesis Ph.D. Stanford University 2022. |
| Location | https://purl.stanford.edu/bc403vn4271 |
Access conditions
- Copyright
- © 2022 by Xiaofeng Shi
- License
- This work is licensed under a Creative Commons Attribution Non Commercial 3.0 Unported license (CC BY-NC).
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