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An Empirical Study on the Short-run Performance before and after the Unlock of Private Placement Stocks in the A-share Market

Abstract Private placement is an important financing tool for listed companies in China, and the lock-up arrangement is its supporting system. The Efficient Market Hypothesis suggests that, if investor expectations are unbiased, there will be no abnormal fluctuations in the stock prices of listed companies before and after the unlocking day. However, around the time of the unlocking of private placement shares, the stock prices generally show a V-shaped pattern.

Through the empirical analysis of the Chinese A-share stocks from May 8th,2006 to December 31st, 2016, I found that from the 40th day before the unlocking day to the 90th day after, the stock price showed an evident first-downward-then upward trend. The lowest price appeared near the un... (more)
Created Date 2018
Contributor Zhang, Hongwei (Author) / Zhu, Hongquan (Advisor) / Yan, Hong (Advisor) / Gu, Bin (Committee member) / Arizona State University (Publisher)
Subject Business administration / Behavioral Finance / Private Placement / Reaction of Stock Price / Unlocking
Type Doctoral Dissertation
Extent 116 pages
Language Chinese
Reuse Permissions All Rights Reserved
Note Doctoral Dissertation Business Administration 2018
Collaborating Institutions Graduate College / ASU Library
Additional Formats MODS / OAI Dublin Core / RIS

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Description Dissertation/Thesis