SECONDARY EQUITY OFFERINGS: THE CASE OF INSTALLMENTS RECEIPTS
ISBN: 978-0-76231-161-3, eISBN: 978-1-84950-313-6
Publication date: 24 March 2005
Abstract
This paper examines secondary equity offerings that were done in the Canadian markets through “installment receipts” (IRs). Previous studies on seasoned equity offerings tend to focus on the price reaction around the announcement date. We extend the analysis to cover a longer period so that the issues of liquidity effect and information asymmetry can be adequately addressed. We also offer evidence to indicate that the use of IRs in secondary offerings can reduce the liquidity impact in markets where market depth is not as substantial as in the U.S.
Citation
Charupat, N. and Cheung, C.S. (2005), "SECONDARY EQUITY OFFERINGS: THE CASE OF INSTALLMENTS RECEIPTS", Research in Finance (Research in Finance, Vol. 21), Emerald Group Publishing Limited, Leeds, pp. 113-133. https://doi.org/10.1016/S0196-3821(04)21005-X
Publisher
:Emerald Group Publishing Limited
Copyright © 2004, Emerald Group Publishing Limited