Yüksel, Aydın; Yüksel, Aslı - In: Journal of entrepreneurial finance : JEF ; official … 11 (2006) 3, pp. 57-78
Recent evidence from U.S. markets shows that IPO underpricing is associated with high liquidity for issuing firms. One … explanation given for this link is that IPO firms simultaneously decide on share retention and underpricing to maximize … support the argument that IPO firms use underpricing as a tool to make up the reduction in liquidity caused by higher share …