Please use this identifier to cite or link to this item:
https://hdl.handle.net/1822/38947
Title: | Post-operating performance of cross-delisted firms from U.S. stock exchanges |
Author(s): | Loureiro, Gilberto Silva, Sónia Maria da Silva Faria Nogueira da |
Keywords: | Cross-Delisting Long-run Stock Returns Post-Operating Performance |
Issue date: | 2015 |
Publisher: | Universidade do Minho. Núcleo de Investigação em Políticas Económicas (NIPE) |
Abstract(s): | We investigate the long-term performance of cross-delisted firms from U.S. stock markets. Using a sample of foreign firms listed and delisted from U.S. stock exchange markets over 2000-2012, we examine the operating performance and the long-run stock returns performance of firms post-cross-delisting. Our results suggest that cross-delisted firms have less growth opportunities than matched cross-listed firms in the long run. Moreover, firms that cross-delist after the passage of Rule 12h-6 of 2007 exhibit a significant decline in operating performance. In contrast, before the adoption of the Rule 12h-6, cross-delisted firms seem to be affected by the cost of a U.S. listing in the precross -delisting period. In addition, we provide evidence that cross-delisted firms underperform their cross-listed peers; cross-delisted firms experience negative average abnormal returns, especially in the post-delisting period. |
Type: | Working paper |
URI: | https://hdl.handle.net/1822/38947 |
Publisher version: | http://www.nipe.eeg.uminho.pt/Uploads/WP_2015/NIPE_WP_17_2015.pdf |
Peer-Reviewed: | no |
Access: | Open access |
Appears in Collections: | NIPE - Documentos de Trabalho |
Files in This Item:
File | Description | Size | Format | |
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NIPE_WP_17_2015.pdf | 507,11 kB | Adobe PDF | View/Open |