| Author: | Bacmann, J. F. Dubois, M. Ertur, C. |
| Title: | Valuation effects of listing on a more prominent segment of the stock market: evidence from France |
| Journal: | European Financial Management
2002 : DEC, VOL. 8:4, p. 479-494 |
| Index terms: | VALUATION STOCK MARKETS FRANCE ANALYTICAL REVIEW |
| Language: | eng |
| Abstract: | First, the authors examine the influence of the transfer on the market value of equity in a new framework. Second, the authors analyse simultaneously the relative importance of signaling effects, investor recognition, and liquidity on the firm's market value. Using an event study methodology, the authors find that prices increase abnormally between the announcement and the listing. In order to study the information conveyed by the listing, the authors examine how earnings increase after the listing and find no evidence of a signaling effect. The authors estimate the change in the shadow cost related to investor's recognition as a function of the number of analysts following the firm. This change is significantly negative around listing. |
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