| Summary: | Abstract
The underpricing has been one of the most popular research topics in the last four decades. Lots of researchers try to explain it through different theories. Also, empirical studies are carried out to find the determinants of underpricing. In this study, a sample of 315 US IPOs between 2007 and 2012 in the industries of technology, basic material, financial service, industrial, energy and utilities are selected to study the determinants of underpricing in the US market in that period. The average underpricing level is founded to be about 8%. Additionally, offering price, cold issue market, and time interval time interval between announcement date are found to be significantly negative related to the underpricing, while the offering size and insider holding are significantly positively related to the underpricing.
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