The Quality and Price of Investment Banks' Service: Evidence from the PIPE Market

Financial Management

Volumn 39, Issue 2, 2010, Pages 585-612

  Dai, Na ^a   Jo, Hoje ^b   Schatzberg, John D ^c  

^a STATE UNIVERSITY OF NEW YORK   (United States)

^b SANTA CLARA UNIVERSITY   (United States)

^c UNIVERSITY OF NEW MEXICO   (United States)

Author keywords

[No Author keywords available]

Indexed keywords

EID: 78649494863     PISSN: 00463892     EISSN: 1755053X     Source Type: Journal    
DOI: 10.1111/j.1755-053X.2010.01085.x     Document Type: Article

References (28)

1. Aggarwal, R., 2000, "Stabilization Activities by Underwriters after New Offerings, " Journal of Finance 55, 1075-1103.
2. Brophy, D.J., P.P. Ouimet, and C. Sialm, 2009, "Hedge Funds as Investors of Last Resort, " Review of Financial Studies 22, 541-574.
3. Carter, R.B., F.H. Dark, and A.K. Singh, 1998, "Underwriter Reputation, Initial Returns, and Long-Run Performance of IPO Stocks, " Journal of Finance 53, 285-311.
4. Carter, R.B. and S. Manaster, 1990, "Initial Public Offerings and Underwriter Reputation, " Journal of Finance 45, 1045-1068.
5. Chaplinsky, S. and D. Haushalter, 2008, "Financing under Extreme Uncertainty: Contract Terms and Returns to Private Investments in Public Equity, " University of Virginia Working Paper.
6. Chemmanur, T.J. and P. Fulghieri, 1994, "Investment Bank Reputation, Information Production, and Financial Intermediation, " Journal of Finance 49, 57-79.
7. Chen, H.C. and J. Ritter, 2000, "The Seven Percent Solution, " Journal of Finance 55, 1105-1131.
8. Dai, N., 2007, "Does Investor Identity Matter? An Empirical Examination of Investments by Venture Capital Funds and Hedge Funds in PIPEs, " Journal of Corporate Finance 13, 538-563.
9. Doukas, J.A., C. Kim, and C. Pantzalis, 2008, "Do Analysts Influence Corporate Financing and Investment Financial Management 37, 303-339.
10. Ellis, K., R. Michaely, and M. O'Hara, 2000, "When the Underwriter Is the Market Maker: An Examination of Trading in the IPO Aftermarket, " Journal of Finance 55, 1039-1074.
11. Fang, L.H., 2005, "Investment Bank Reputation and the Price and Quality of Underwriting Services, " Journal of Finance 60, 2729-2761.
12. Fernando, C.S., V.A. Gatchev, and P.A. Spindt, 2005, "Wanna Dance? How Firms and Underwriters Choose Each Other, " Journal of Finance 60, 2437-2469.
13. Gande, A., M. Puri, and A. Saunders, 1999, "Bank Entry, Competition, and the Market for Corporate Security Underwriting, " Journal of Financial Economics 54, 164-195.
14. Gande, A., M. Puri, A. Saunders, and I. Walter, 1997, "Bank Underwriting of Debt Securities: Modern Evidence, " Review of Financial Studies 10, 1175-1202.
15. Hanley, K., A. Kumar, and P. Seguin, 1993, "Price Stabilization in the Market for New Issues, " Journal of Financial Economics 34, 177-196.
16. Hertzel, M. and R.L. Smith, 1993, "Market Discounts and Shareholder Gains for Placing Equity Privately, " Journal of Finance 48, 459-485.
17. Hillion, P. and T. Vermaelen, 2004, "Death Spiral Convertibles, " Journal of Financial Economics 71, 381-415.
18. Jo, H., Y. Kim, and M. Park, 2007, "Underwriter Choice and Earnings Management: Evidence from Seasoned Equity Offerings, " Review of Accounting Studies 12, 23-59.
19. Krigman, L, W.H. Shaw, and K.L. Womack, 2001, "Why Do Firms Switch Underwriters Journal of Financial Economics 60, 245-284.
20. Lee, L., 1978, "Unionism and Wage Rates: A Simultaneous Equations Model with Qualitative and Limited Dependent Variables, " International Economic Review 19, 415-433.
21. Livingston, M. and R.E. Miller, 2000, "Investment Bank Reputation and the Underwriting of Nonconvertible Debt, " Financial Management 29, 21-34.
22. Ljungqvist, A., F.C. Marston, and W.J. Wilhelm Jr., 2006, "Competing for Securities Underwriting Mandates: Banking Relationships and Analyst Recommendations, " Journal of Finance, 301-339.
23. Loughran, T. and J. Ritter, 2004, "Why Has IPO Underpricing Changed over Time Financial Management 33, 5-37.
24. Michaely, R. and K. Womack, 1999, "Conflict of Interest and the Credibility of Underwriter Analyst Recommendations, " Review of Financial Studies 12, 653-686.
25. Petersen, M.A., 2009, "Estimating Standard Errors in Finance Panel Data Sets: Comparing Approaches, " Review of Financial Studies 22, 435-480.
26. Schulz, P.H. and M.A. Zaman, 1994, "Aftermarket Support and Underpricing of Initial Public Offerings, " Journal of Financial Economics 35, 199-219.
27. Wruck, H.K., 1989, "Equity Ownership Concentration and Firm Value: Evidence from Private Equity Financings, " Journal of Financial Economics 23, 3-28.
28. Wu, Y.L., 2004, "The Choice of Equity-Selling Mechanisms, " Journal of Financial Economics 74, 93-119.