Abstract
Although earlier work suggested that IPO firms underperform in the long run, recent findings show that such performance diverges significantly. Building upon expectancy violation theory, we develop a conceptual framework that explains how the distinction between high growth and non-high-growth firms at IPO is important for understanding the long-term IPO performance. We also explain how post-IPO strategies (acquisition intensity and scaling) shape this relationship. A sample of 559 US IPOs during 2001-2015 supports our hypotheses that while the long-term IPO performances of high growth firms are lower than non-high growth firms, post-IPO acquisition intensity and scaling change this relationship.
Original language | English |
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Title of host publication | Academy of Management Proceedings |
Volume | 2023 |
Edition | 1 |
DOIs | |
Publication status | Published - 24 Jul 2023 |
Bibliographical note
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