Pricing Determinants of selected Fixed Price IPOs issued in India

Harmohan Singh Dhall, Dr. Sukhdev Singh
2017 IOSR Journal of Business and Management  
This paper is an attempt to examine the valuation factors affecting the pricing of Initial Public Offerings (IPOs) issued in India through fixed price mechanism and listed on BSE between 2010-2016. A total of 46 fixed Price IPOs were investigated for the impact of age of the company, revenue, net profits, net asset value per equity share, issue size, return on net worth, earnings per share, industry profits to earnings ratio and promoter's shareholdings. The paper reveals that net asset value
more » ... r share and net profits are positively correlated with both the offer price and listing price while issue size is negatively correlated with the offer price. Further the regression result also computed a significant impact of net asset value per share and net profits on the two pricing points.
doi:10.9790/487x-190702113121 fatcat:lg3qkwkfcvg6fgsdsmyqcetujq