Liquidity around SEO announcements: evidence from China

被引：0
作者：
Chen, Weijie [1 ]
Zhang, Wei [1 ]
Lv, Zhenwei [1 ]
Zou, Gaofeng [1 ]
机构：
[1] Tianjin Univ, Coll Management & Econ, 92 Weijin Rd, Tianjin 300072, Peoples R China
来源：
ASIA-PACIFIC JOURNAL OF ACCOUNTING & ECONOMICS | 2022年 / 29卷 / 02期
基金：
中国国家自然科学基金;
关键词：
Information asymmetry; liquidity; SEO discount; SEO announcements; SEASONED EQUITY OFFERINGS; TRADING COSTS; INFORMATION; RISK; PERFORMANCE; BEHAVIOR; RETURNS;
D O I：
10.1080/16081625.2020.1754253
中图分类号：
F8 [财政、金融];
学科分类号：
0202 ;
摘要：
Our paper identifies a unique type of corporate event: SEO announcement effects. By employing various liquidity measures, we consistently find a significant decrease in liquidity after the release of announcements. The magnitude of liquidity change is associated with various firm characteristics. More importantly, we find the reduction in liquidity increases SEO discount. Our findings suggest that a part of SEO discount is risk compensation for uncertainty produced by the SEO plan.
引用
收藏
页码：472 / 486
页数：15
相关论文
共 35 条
  • [1] Asset pricing with liquidity risk
    Acharya, VV
    Pedersen, LH
    [J]. JOURNAL OF FINANCIAL ECONOMICS, 2005, 77 (02) : 375 - 410
  • [2] Discounting and underpricing in seasoned equity offers
    Altinkilic, O
    Hansen, RS
    [J]. JOURNAL OF FINANCIAL ECONOMICS, 2003, 69 (02) : 285 - 323
  • [3] Are there economies of scale in underwriting fees?: Evidence of rising external financing costs
    Altinkiliç, O
    Hansen, RS
    [J]. REVIEW OF FINANCIAL STUDIES, 2000, 13 (01) : 191 - 218
  • [4] Does liquidity risk explain low firm performance following seasoned equity offerings?
    Bilinski, Pawel
    Liu, Weimin
    Strong, Norman
    [J]. JOURNAL OF BANKING & FINANCE, 2012, 36 (10) : 2770 - 2785
  • [5] Stock market liquidity and the cost of issuing equity
    Butler, AW
    Grullon, G
    Weston, JP
    [J]. JOURNAL OF FINANCIAL AND QUANTITATIVE ANALYSIS, 2005, 40 (02) : 331 - 348
  • [6] SEO Risk Dynamics
    Carlson, Murray
    Fisher, Adlai
    Giammarino, Ron
    [J]. REVIEW OF FINANCIAL STUDIES, 2010, 23 (11) : 4026 - 4077
  • [7] Recent trends in trading activity and market quality
    Chordia, Tarun
    Roll, Richard
    Subrahmanyam, Avanidhar
    [J]. JOURNAL OF FINANCIAL ECONOMICS, 2011, 101 (02) : 243 - 263
  • [8] The determinants of underpricing for seasoned equity offers
    Corwin, SA
    [J]. JOURNAL OF FINANCE, 2003, 58 (05) : 2249 - 2279
  • [9] Informed short selling around SEO announcements
    Deshmukh, Sanjay
    Gamble, Keith Jacks
    Howe, Keith M.
    [J]. JOURNAL OF CORPORATE FINANCE, 2017, 46 : 121 - 138
  • [10] On the benefits of concurrent lending and underwriting
    Drucker, S
    Puri, M
    [J]. JOURNAL OF FINANCE, 2005, 60 (06) : 2763 - 2799
1234