IPO stock bubbles: How CEO celebrity encourages IPO underpricing

Abstract

Purpose

This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies.

Design/methodology/approach

This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context.

Findings

IPO underpricing occurs more when the CEO of the listing firm is a celebrity, which is increased further when they are also founders of the firm and act as the firm Chair.

Originality/value

The briefing saves busy executives, strategists and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.

Citation

(2023), "IPO stock bubbles: How CEO celebrity encourages IPO underpricing", Strategic Direction, Vol. 39 No. 12, pp. 5-6. https://doi.org/10.1108/SD-10-2023-0131