Paun, Cristian; Muşetescu, Radu; Lupu, Radu - Volkswirtschaftliche Fakultät, … - 2006
When companies go public to gather financial resources, the stocks they sell in an initial public offering (IPO) tends … to be underpriced, resulting in a substantial price jump on the first day of trading. Underpricing of IPO has attracted … extent of underpricing fluctuate over time. There is a large body of theoretical work explaining IPO underpricing, and most …