Comprehensive Research Report to the Contractual Research Agreement No. 201802SM

summary research report - contract. research

English

The main goal of the project was to examine the propensity to go public and the “staying private” determinants in the contractual company. The research methods cover the comparative analysis of scientific literature documents and reports, collecting primary data in the contractual company via interviews and focus group techniques and their processing while using qualitative research methods. The main outputs of the projects are as follows. Firstly, we analysed to which extent local macroeconomic and institutional factors have had influence on the attitudes of managers to go public or remain private in Poland. A set of external determinants was identified suggesting that overall macroeconomic conditions, investor sentiment and conditions in the particular industry should be assessed when considering whether to enter the public equity market. The quality and adequacy of the institutional framework with regard to capital market efficiency as highlighted in many academic studies is a less significant factor of a prospective going public strategy. Second, we surveyed firm-specific determinants having influence on the decision to go public or stay private. The following internal aspects in regard to an IPO were analysed in particular: the impact a primary issue might have on control and ownership dilution, underwriting cost and auditing fees, alternative financing investment opportunities, cost of increased transparency and external monitoring, and the impact of going public on corporate governance practices. Based on survey results a model of decision making to go public in the contractual company reflecting external and firm-specific going public determinants was proposed.

macroeconomic determinants, firm-specific determinants, IPO, going public, private ownership

MELUZÍN, T.; ZINECKER, M.; ŠKAPA, S.; LAPINSKA, J.

31. 12. 2018

FBM BUT

Brno

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