The Aftermarket Performance and Motivations for Listing of ADRs by Taiwanese and Chinese Firms

• Main Authors: Wei-an Huang, 黃薇安
• Other Authors: 楊明晶
• Format: Others
• Language: zh-TW
• Published: 2013
• Online Access: http://ndltd.ncl.edu.tw/handle/23484961680783164994

碩士 === 逢甲大學 === 財務金融學系碩士班 === 101 === This paper investigates the major motivations of issuing American Depositary Receipts (ADRs) for Taiwanese and Chinese firms in emerging markets. The characteristics and corporate governance structures of the firms issuing ADRs are compared with those of their matching firms, and the characteristics and corporate governance structures of the firms issuing each type of ADRs are also discussed. This study also explores the aftermarket performance for the companies issuing ADRs. The companies issuing ADRs are divided into IPO and non-IPO companies and the major factors affecting the cumulative abnormal returns around ADR events are examined. The empirical results of the study show that firms with larger size, higher profitability, higher growth, and better corporate governance structures tend to issue ADRs, and these firms tend to choose the ADR types of Level I and Level III. In addition, the aftermarket performance results indicate that the profitability of the firms declines significantly after the issuance of ADRs.