Director Experience and the Performance of IPOs: Evidence from Sweden
private to public. In this paper the experience of directors is examined to determine the extent of the role they play in ensuring a successful listing. Unique data from 122 IPOs on the Swedish Stock Exchange have been examined in a search for the effect of director experience on aftermarket perform...
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doaj-7ee3e636cb1042498d707b25dc15ee112020-11-24T20:55:06ZengUniversity of WollongongAustralasian Accounting, Business and Finance Journal1834-20001834-20192014-03-0181325http://dx.doi.org/10.14453/aabfj.v8i1.2Director Experience and the Performance of IPOs: Evidence from SwedenAnders Isaksson0Umeå School of Business and Economics & Chalmers University of Technologyprivate to public. In this paper the experience of directors is examined to determine the extent of the role they play in ensuring a successful listing. Unique data from 122 IPOs on the Swedish Stock Exchange have been examined in a search for the effect of director experience on aftermarket performance. Specific aspects of director experience within a board, such as interlocking directorships and average tenure, are connected to the underpricing of Swedish IPOs. Contrary to expectations, no statistically significant relationship was found between long-run aftermarket performance and director experience at the time of an IPO. This suggests that the previous experience of directors, as measured in earlier studies, is less relevant to long-term aftermarket performance in Sweden compared to other countries studied in the literature review. This emphasises the importance of examining different institutional contexts.http://ro.uow.edu.au/aabfj/vol8/iss1/2Initial Public OfferingsCorporate GovernanceUnderpricing |
collection |
DOAJ |
language |
English |
format |
Article |
sources |
DOAJ |
author |
Anders Isaksson |
spellingShingle |
Anders Isaksson Director Experience and the Performance of IPOs: Evidence from Sweden Australasian Accounting, Business and Finance Journal Initial Public Offerings Corporate Governance Underpricing |
author_facet |
Anders Isaksson |
author_sort |
Anders Isaksson |
title |
Director Experience and the Performance of IPOs: Evidence from Sweden |
title_short |
Director Experience and the Performance of IPOs: Evidence from Sweden |
title_full |
Director Experience and the Performance of IPOs: Evidence from Sweden |
title_fullStr |
Director Experience and the Performance of IPOs: Evidence from Sweden |
title_full_unstemmed |
Director Experience and the Performance of IPOs: Evidence from Sweden |
title_sort |
director experience and the performance of ipos: evidence from sweden |
publisher |
University of Wollongong |
series |
Australasian Accounting, Business and Finance Journal |
issn |
1834-2000 1834-2019 |
publishDate |
2014-03-01 |
description |
private to public. In this paper the experience of directors is examined to determine the extent of the role they play in ensuring a successful listing. Unique data from 122 IPOs on the Swedish Stock Exchange have been examined in a search for the effect of director experience on aftermarket performance. Specific aspects of director experience within a board, such as interlocking directorships and average tenure, are connected to the underpricing of Swedish IPOs. Contrary to expectations, no statistically significant relationship was found between long-run aftermarket performance and director experience at the time of an IPO. This suggests that the previous experience of directors, as measured in earlier studies, is less relevant to long-term aftermarket performance in Sweden compared to other countries studied in the literature review. This emphasises the importance of examining different institutional contexts. |
topic |
Initial Public Offerings Corporate Governance Underpricing |
url |
http://ro.uow.edu.au/aabfj/vol8/iss1/2 |
work_keys_str_mv |
AT andersisaksson directorexperienceandtheperformanceofiposevidencefromsweden |
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1716792590679932928 |