This paper examines whether debt retirement at the time of initial public offering (IPO) can stimulate firm growth. Our findings reveal that highly leveraged firms tend to use proceeds of IPOs to repay more existing debt. Then, increased debt capacity and reduced interest burden enable firms to...

This paper explores the relationship between the sources of initial public offering (IPO) shares and withdrawal decision. Findings reveal that the amount of primary share does not have a direct relationship to the withdrawal decision. Furthermore, we analyze the relationship of the sources of...