Showing papers on "Listing (finance) published in 2001"

Going Public: The Theory and Evidence on How Companies Raise Equity Finance

Abstract: A critical decision in the life of a company is if, and when, to "go public" by listing themselves on the stock exchange. Two anomalies are apparent: that companies taking this route systematically initially underprice their shares and that over the longer term they under-perform other companies. This book investigates these issues in a non-technical manner, drawing upon international evidence from private sector companies and privatizations.

Incentives and Performance in Real Estate Brokerage

Abstract: This article has two objectives. One is to offer a theoretical model to study how the difference in commission structures affects the performance of agents at full-commission firms (e.g., RE/MAX agents) relative to other agents. The other is to provide an empirical test of the relative performance of full-commission agents. We predict that in equilibrium the selling price and the expected time it takes to sell a listing through a full-commission agent are the same as they are with a traditional agent. Our theoretical predictions are supported by our empirical results.

The Initial Listing Decisions of Firms That Go Public

Abstract: We analyze the initial listing decisions of IPOs that qualify for New York Stock Exchange listing. We find that IPOs are more likely to list on the exchange where their industry peers are listed. Further, reverse LBOs and carveouts are more likely to choose the NYSE if the firm or their parent was previously NYSE-listed. Consistent with avoidance of delisting costs, we find that smaller, riskier firms tend to list on Nasdaq. Although direct issue costs are higher on the NYSE than on Nasdaq, total issue costs do not differ across exchanges and are unlikely to affect the listing decision. Historically, publicly held firms in the US began trading on the regional or over-the-counter markets and, in some cases, eventually moved to the New York Stock Exchange (NYSE). However, the NYSE changed its listing rules in 1983, making it easier for initial public offerings (IPOs) to meet minimum listing requirements. Now that many large IPOs could list directly on the NYSE, the initial listing decision became an important part of the IPO process. In this paper, we analyze the factors that affect the initial listing decision. We examine a sample of IPOs from 1991 to 1996 that either listed on the NYSE or met the NYSE's minimum-listing requirements, but chose to list on the Nasdaq National Market (Nasdaq). Our sample allows us to examine the initial listing decisions of firms for which NYSE listing was actually a consideration. Of the 438 IPOs that meet our sample criteria, 337 (76.9%) listed on the NYSE. The significant number of NYSE listings suggests that the change in listing rules and the NYSE's increased marketing efforts have had an important effect on the listing decisions of IPO firms. However, the fact that many NYSE-eligible IPOs continue to list on Nasdaq suggests that the perceived costs and benefits of listing vary across firms. We find that firms tend to list on the exchange where other firms in their industry are currently listed. In addition, reverse LBOs and carveouts are more likely to list on the NYSE if the firm or parent firm was listed on the NYSE prior to the LBO or carveout, respectively. These results suggest that prior exchange relationships and exchange expertise are important considerations in the choice of listing venue. Smaller, riskier firms are more likely to list on Nasdaq. This finding suggests that firms avoid expected delisting costs. The fact that small firms tend to list on Nasdaq may also suggest that sponsorship is an important factor in the listing decision. However, we find no evidence that younger firms, which would also benefit from sponsorship, are more likely to list on Nasdaq

Why Do Option Introductions Depress Stock Prices? A Study of Diminishing Short-Sale Constraints

Abstract: Early studies find that option introductions tend to raise the price of underlying stocks. More recent research indicates that post-1980 option introductions are associated with negative abnormal returns in underlying stocks. Other studies document increased short-sale activities following option listing. This paper provides evidence that the documented abnormal returns and changes in short interest around option listings are consistent with the mitigation of short-sale constraints resulting from the option introduction, and that both the abnormal returns and short interest changes around listing dates can be predicted using ex-ante characteristics of the underlying stock.

Frankfurt's Neuer Markt and the IPO explosion: is Germany on the road to Silicon Valley?

Abstract: Germany's bank-based financial system has been generally perceived as good at providing long-term debt finance to traditional industry but poor at supplying equity capital to high-tech start-ups. In 1997 a special segment of the Frankfurt stock exchange, the Neuer Markt , was founded to improve the supply of high-risk equity capital in Germany. The subsequent listing of over 300 companies on the Neuer Markt , many of them in technology-intensive sectors, has led to speculation that Germany is rapidly closing the gap with the US, the world leader in high technology. Contrary to this view, this article suggests that these companies have more in common with traditional German small and medium-sized companies (SMEs) than with the Silicon Valley model of governance and innovation.

Managerial Opportunism and Foreign Listing: Some Direct Evidence

Abstract: This Paper considers the corporate governance aspects of a regulatory program aimed to lure Israeli issuers listed only on U.S. markets to dual-list on the Tel Aviv Stock Exchange. It is a companion to another paper, which analyzes the international regulatory implications of that project (see http://papers.ssrn.com/sol3/papers.cfm?abstract_id=240888). The program provides a rare opportunity to analyze the role of managerial opportunism in foreign listing transactions. In its unique setting, most of the commonly cited motivations for foreign listing are held constant and the costs associated with foreign listing are largely sunk costs. From the vantage-point of most Israeli U.S.-listed issuers, the differences in disclosure duties under the Israeli regime originally intended for them and the American foreign issuer regime refer to corporate governance issues. The staunch resistance from the business and financial sectors to any additional disclosure under Israeli regulation is consistent with managerial reluctance to become subject to a more exacting corporate governance framework. This resistance also sheds light on the role managerial opportunism may play in legislative processes that relate to corporate governance and supports arguments about path dependence in corporate governance systems.

Managerial Opportunism and Foreign Listing: Some Direct Evidence

Abstract: To what extent do private interests of managers, controlling shareholders, and other insiders affect corporate actions and the structure of the legal system? This Article presents evidence that such interests (hereinafter “managerial opportunism,” for brevity) have a significant effect on both aspects in the growingly important context of foreign listing. Modern analyses of the corporate form invariably revolve around the agency problem,1 and “corporate governance” is widely understood today to constitute the means for coping with this problem.2 Shleifer and Vishny, for instance, provide a thorough review of the theoretical and empirical literature on the relations between corporate governance and the agency problem.3 In particular, they discuss the interplay between legal rules and shareholding structures as alternative means for curbing adverse

An empirical investigation of the financial disclosure practices of Cypriot and Greek companies.

Abstract: The main objectives of this study are to: (1) investigate empirically the extensiveness of the Cypriot and Greek corporate mandatory disclosure practices; (2) examine the relationship between each of a number of specific corporate characteristics and the Cypriot and Greek corporate mandatory disclosure practices; (3) assess whether the variations in the extensiveness of Cypriot and Greek corporate mandatory disclosure practices can be explained by the selected corporate characteristics together; and (4), compare the results found for Cyprus with those found for Greece. The corporate characteristics examined, which are used as proxies of agency, political and other costs, are: company size, age, profitability, liquidity, industry type, listing status and auditor type. The study begins with the provision of background information about the Cypriot and Greek accounting environments which reveals that companies in the two countries operate within substantially different accounting environments. The study continues with a synthesis of the conceptual framework for corporate financial disclosure that identifies the variables that are likely to affect the research problem. A review of the corporate disclosure literature identifies a gap in the literature, which the study aspires to fill, and establishes the background for choosing the appropriate methodology to be used in the study. To investigate the extensiveness of the Cypriot and Greek corporate mandatory disclosure practices, the 1996 corporate annual financial statements (CAFSs) of 50 Cypriot and 74 Greek companies were collected. Extensiveness was defined as the quantity and quality of mandatory information disclosed in CAFSs and was measured by applying a country—specific disclosure measuring instrument against the CAFSs of the sample companies from each country. The relationship between the extent of corporate disclosure and the selected corporate characteristics was examined by using both bivariate and multivariate statistical analyses for each of the two countries. The results of the empirical analyses have led to four main conclusions. First, the Cypriot and Greek corporate mandatory disclosure practices, on the whole, appear to be extensive. Second, Cypriot public companies which are more profitable, are classified as conglomerates or whose shares are listed on the Cyprus Stock Exchange (CSE), tend to disclose significantly more extensive mandatory information in their 1996 CAFSs. Third, Greek listed companies which are smaller, are classified as conglomerates or manufacturing, or whose shares are listed on the main market of the Athens Stock Exchange (ASE), tend to disclose significantly more extensive mandatory information in their 1996 CAFSs. Finally, on the basis of the comparative analyses undertaken, it can be concluded that although the influence of listing status and industry type on Cypriot and Greek mandatory disclosure practices is similar, the influence of company size is different. In contrast to Cyprus and most evidence reported in previous studies, company size has a negative influence on the extent of Greek corporate mandatory disclosure practices. This difference can be explained by theoretical, environmental, empirical and other considerations. For example, it can be attributed to the distinctive nature of the highly politicised Greek accounting environment and can be explained by political cost theory. Another possible explanation may be that Greek large companies disclose fewer details in their CAFSs but: (1) use other communication media to disclose mandatory information; or (2), use mandatory and voluntary disclosures as substitutes and replace the disclosure of less extensive mandatory information with more extensive voluntary disclosure. There are several possible policy implications that arise out of the above conclusions. The first implication is that improvements in Cypriot and Greek corporate mandatory disclosure can be made. Another policy implication is that corporate stakeholders who rely on CAFSs to get useful information should be wary of Cypriot companies which are less profitable, are classified as non—conglomerates or are not listed on the CSE; and Greek companies which are larger, are classified as others or are listed on the parallel market of the ASE. This is because these companies have been found to disclose less extensive mandatory information. The third policy implication arising out of the conclusions of the study is that it is possible that different predictions about the disclosure of corporate information may be derived from the political cost theory, depending on the environment within which the theory is examined. This is because although it is usually claimed that politically sensitive companies may disclose more extensively in order to reduce their political costs, the opposite may be true in the case of countries with specific environmental characteristics (similar to those existing in Greece in 1996): politically sensitive companies may disclose less extensively.

Method and apparatus for electronic barter system

Abstract: Electronic bartering systems and methods are described. Methods are described for completing a transaction by use of a national currency and a mutual currency. Items offered on the system may be classified as for barter or reward. In embodiments, an item offered on the system may have a listing price ($P) specified in the national currency and a minimum amount of national currency desired by the seller ($X) specified in the national currency. In some embodiments, the system has a maximum barter to cash ratio (%C) such that the item is classified for reward if $X/$P>%C.

Simplified bill paying method

Abstract: A simplified bill paying method transacted between a customer and a financial institution, comprising the customer determining payees to be included in the method; the financial institution providing to the customer a form with one listing per selected payee, including at least the payee name and a designated area to carry an amount to be paid to at least one such payee; adding into one or more of the areas the one or more amounts to be paid to the appropriate payees; and, in response to the filled-in amounts, at the direction of the financial institution, accomplishing the correct funds transfer to the appropriate payees.

To Get Rich is Glorious

Abstract: In October 1992 a Chinese automobile company completed the initial public offering (IPO) of its shares on the New York Stock Exchange, becoming the first Chinese company in history to list on an international market. Wholly unexpected and wildly received by investors, this small transaction dramatically focused global attention on events unfolding in China. Although only US$80 million, this IPO marked the emergence of China on the global capital markets. Its domestic impact was even larger, however, since it presaged massive changes in the operating environment of China’s state-owned industrial sector. These changes were driven by new State policies which promoted corporate structures limited by shares wherein the shares themselves could be sold to non-state investors and listed and traded on domestic and international stock exchanges. Although the Chinese Premier at the time believed such changes represented little more than the traditional joint venture (‘JV’) financings, the revival of domestic stock exchanges and the listing of Chinese companies internationally symbolized a dramatic and highly visible break with past political and economic arrangements and was recognized as such by Chinese and non-Chinese alike. The 1990s have since witnessed the elaboration of this policy line to the point that the demands and requirements of the securities markets have become a major influence on State economic policy.

Investment bank reputation and relaxed listing requirements: Evidence from infrastructure firm IPOs in Hong Kong

Abstract: In early 1996, the Stock Exchange of Hong Kong allowed firms focusing on infrastructure projects to issue initial public offerings (IPOs) under a relaxed set of listing requirements, allowing these firms to go public with a shorter history or lower profitability levels. We provide evidence that these firms are no more speculative than firms listing under the regular requirements. To the contrary, we find that firms listed under the relaxed requirements are taken public by reputable investment banks and that these firms have characteristics that otherwise mitigate their lack of earnings history. These patterns are consistent with investment banks avoiding highly speculative issues to protect their reputations.

Market Sentiment, Media Hype And The Underpricing Of Initial Public Offerings: The Case Of Australian Technology IPOs

Abstract: This study examines the relationship between the extent of initial public offering (IPO) underpricing and market sentiment surrounding technology issues listing on the Australian Stock Exchange (ASX) during 1999 and 2000. We consider "hype" surrounding these issues as reflected in the media and as reflected in the market's sentiment towards recent offerings by similar firms. We also consider the relationship between technology firms' need for follow-on offerings due to "cash burn" and the level of underpricing. Finally, we examine the information content of management and accountant going concern warnings as a signalling mechanism to reduce ex ante uncertainty regarding the relative risk of IPO candidates. Our preliminary results indicate that the extent of underpricing is systematically related to variables measuring the market sentiment surrounding the listing of an IPO. Specifically, underpricing is higher following high underpricing in similar recent issues. There is some evidence of higher underpricing for firms with higher media interest and in the period of the hot IPO market prior to April 2000. We find that firms that experience a greater rate of cash burn also experience greater underpricing consistent with the conjecture that such firms are more likely to need additional financing shortly after they go public. The association between cash burn and underpricing is however reliant on inclusion of a few issues with very high underpricing. We also find evidence consistent with warnings in the prospectus regarding going concern issues providing a valuable signal to mitigate investors' ex ante uncertainty about the value of an offering, thereby reducing the subsequent level of underpricing achieved by that firm.

Specialist Performance and New Listing Allocations on the NYSE: An Empirical Analysis

Abstract: This study analyzes the criteria used to allocate stocks to specialist firms on the NYSE. Non-performance variables play a predominant role in the allocation process, with large specialist firms receiving the majority of new listings. Controlling for size, more-profitable and less-profitable listings tend to be equitably distributed across specialist firms and specialists are more likely to receive allocations if they have not received a recent allocation or have recently had stocks delisted. Preference is also given to specialist firms that already trade other stocks in the same industry or stocks of the same type (funds and non-U.S. securities). Changes to the Allocation Policy in 1997 appear to have resulted in a subset of specialist firms being repeatedly awarded allocations, while others are repeatedly denied allocations.

The Short– and Long–run Performance of New Listings in Tunisia

Abstract: This study examines abnormal stock market returns of new listings on the Tunisian Stock Exchange. Substantial positive abnormal returns are found on the first listing day and this finding is similar to that obtained in other countries. Subsequent performance is poor and investors who bought shares at the close of trading on the first day would have lost about 22% against the Tunis Stock Exchange index over a three–year period. The possible causes of this are investigated. Among the factors found in the literature that possibly affect the level of long–term performance, only the state of the IPO market, the initial return, the delay in reaching the ‘first market price’ and the size of the firms have significant coefficients. This result is supportive of the traditional fad’s interpretation of long–term underperformance.

David's Dilemma: A Case Study of Securities Regulation in a Small Open Market

Abstract: This article tells the story of an Israeli regulatory program aimed at luring back home Israeli companies listed only on U.S. stock markets, to facilitate dual listing of their stocks on the Tel Aviv Stock Exchange. Beyond documenting a piece of Israeli political economy, this article provides several lessons of general relevance to small or emerging markets as well as to large ones. In this story, the regulator of the small market finds itself a regulatory price-taker. In a mirror image, the U.S. market emerges as a global regulatory price-setter. This regulatory externality, or regulatory arbitrage, is disturbing because the standard with which Israeli regulation had to align is the watered-down version for non-U.S. issuers. Indeed, any effort to require an iota of additional disclosure beyond the American foreign issuer regime has failed due to vehement objections from the Tel Aviv Stock Exchange and business interest groups. The role of the stock exchange as regulator and the interplay between corporate law and securities regulation are also discussed in this context. This article thus casts some doubt on the desirability of piggybacking on foreign markets. Sometimes, it turns out, piggybacking can be a ride to the bottom.

International Cross-Listing: The Effects of Market Fragmentation and Information Flows

Abstract: We investigate the effects of market fragmentation and information flows in the case of stocks cross-listed on markets in Central Europe and London. First, we test for co-movement, interaction and error correction behavior between the local and London markets. Our results suggest that strong interactions exist between these markets, with the London market being slightly more important than the local one. The two prices of cross-listed stocks are cointegrated and pricing errors are corrected over a few days. These interactions suggest partial fragmentation. Second, we extend an earlier model to examine the impact of foreign listing on the variance of local returns. The focus of previous studies has concentrated almost exclusively on the return of cross-listed securities. The variance of returns has remained mostly unnoticed, even though some studies noted an increase of variance after the cross-listing. In our model, we introduce a new factor that influences return variance: tighter interaction with foreign markets as a consequence of cross-listing. Estimation results lend support to our model.

State-owned Enterprises Going Public: The Case of China

Abstract: Public listing is a key and unique reform measure for large state-owned enterprises (SOEs) in China. Using a panel data set that contains both pre- and post-listing financial and ownership information on publicly listed firms in Shanghai and Shenzhen Stock Exchanges, we explore the effects of public listing in China. We find that using public listings as a means to reform SOEs has not worked wonders: company performance in the post-listing years are sharply lower than their levels in both the pre-listing years and the initial public offering years. Moreover, the effects of public listing on performance are not significantly affected by the percentage of state shares or of the total shares held by top shareholders.

Is Public Listing a Way Out for State-Owned Enterprises? The Case of China*

Abstract: Public listing is a key and unique reform measure for large state-owned enterprises (SOEs) in China. Using a panel data set that contains both preand postlisting financial and ownership information on publicly listed firms in Shanghai and Shenzhen Stock Exchanges, we explore the effects of public listing in China. We find that using public listings as a means to reform SOEs has not worked wonders: company performance in the post-listing years are sharply lower than their levels in both the prelisting years and the initial public offering years. Moreover, the effects of public listing on performance are not significantly affected by the percentage of state shares or of the total shares held by top shareholders, but are positively correlated with a more balanced ownership structure among these shareholders. JEL Classification: P31, P27, G30

Japanese Management Views on Overseas Exchange Listings: Survey Results

Abstract: Although many theoretical papers support the hypothesis that overseas listings have a positive effect on stockholders' wealth, a few empirical studies cast doubts on this hypothesis. These studies suggest that the steady growth of overseas listings is motivated not only by the stockholders' wealth maximization, but also by other reasons, such as managers' utility maximization. However, information about management views on overseas listings is as yet inadequate to support or contradict this hypothesis. Following Baker and Pettit (1982) and Baker and Johnson (1990), both of which examined management's motives for domestic exchange listing, we used a questionnaire to obtain information on Japanese managers' views of their company's decision to list overseas. Our survey, mailed to the chief financial officers of 2,230 Japanese domestically-listed companies, shows that Japanese managers regard disclosure and financial reporting requirements as the primary obstacle to listing overseas. This is why many Japanese companies do not list their stocks on overseas stock exchanges despite the fact that they acknowledge the beneficial effects of overseas listings.

Sponsorship management system

Abstract: The present invention comprises methods and apparatus for creating a new marketplace for the sponsorship industry. In one embodiment of the invention, a website allows users to view information concerning a multiple listing of events that may be sponsored. Requests for sponsorship proposals (RFPs) are received from buyers, and displayed to sellers on the website. Sellers may then respond to an RFP by completing a form displayed on the site. Additional information may be obtained by either party, and the site may be used to secure a transaction between the parties. In another embodiment of the invention, the website offers a corporate management tool which may be employed to organize information about the sponsorship of events.

The Good, the Bad and the Ugly... Everyone Wants to Join the 'Nuovo Mercato'

Abstract: In 2000 Italy's new stock market for small fast-growing firms, the Nuovo Mercato (NM), has reached 40 listed companies. Born in June 1999 to join the Euro-NM network, the NM has now a total market capitalization which is larger than the French counterpart (the Nouveau Marche) and about 25% of the German Neuer Markt. In 1999 most of the NM IPOs resulted in remarkable two-digits initial returns, this inebriating investors. The popularity of this Exchange has increased so much that in 2000 more Italian companies listed on this Market than in the main Stock Exchange, albeit many of these IPO firms exhibited negative initial returns after the Nasdaq's fall. Even more, in 2000 some of the companies significantly underperformed the market and now capitalize even 50% less than the initial market value. In this paper we draw a first portrait of the companies listed on the NM. In particular, we look at the issuing procedure and aims of the listing, at the accounting data reported before the listing and at the market price performance in the short run. We try to find out if the market is able to point out the "lemons" and the "champions" among the other companies, and which are the value drivers recognized by investors. The evidence suggests that the controlling shareholders took their firms public on the NM not to divest their stakes, but to raise new capital and enjoy a large audience, seeking for partnerships and financing M&A activities. Many IPO firms took advantage of the "window of opportunity" related to the "new economy" euphoria. Surprisingly, the less profitable and youngest firms have been initially the most welcome by investors, and the most punished in the long run, as well.

Competition and Convergence in Corporate Regulation: The Case of Overseas Listed Companies

Abstract: Overseas listings are important part of the debate on competition and convergence in corporate regulation because they allow companies to opt into a system of regulation which differs from their country of incorporation. This paper examines why and how countries and exchanges compete for overseas listings and how convergence in listing rules can occur in these circumstances. Particular attention is paid to the "bonding" explanation for overseas listings which holds that companies will list in countries with high regulatory standards so as to enhance the credibility of information disclosure to investors and thereby increase their share price. It is shown in this paper that the simple model of bonding which has generally been adopted in previous research does not reflect the complex manner in which an overseas listing links a company with the system of corporate regulation in an overseas listing jurisdiction. The bonding is, in reality, weaker than has previously been assumed. Nevertheless, the bonding thesis appears to be broadly supported by recent research on trends in overseas listings, which suggest that competition for overseas listings, far from leading to a regulatory "race to the bottom" is resulting in listed companies being drawn towards countries and exchanges which adopt high standards of regulation.

Small Retailer and Service Company Accuracy in Evaluating the Legality of Specified Practices

Abstract: This study examined the degree to which small retail and service company managers were familiar with important federal laws Further, it assessed differences between these two types of firms in managerial cognizance of the regulations The findings revealed reasonable knowledge of the federal restrictions, accompanied by some important inaccuracies Generally, small retail managers were found to be more knowledgeable than small service company managers The study discussed here examined the extent to which small retail and service company store managers are informed about a number of consequential federal laws The discussion considers the seriousness of this topic and focuses upon various small retailer and service company practices that are particularly vulnerable to mandate Finally, it sets forth an empirical assessment of the knowledge small retail and service companies have about federal laws Small retail and service company cognizance of federal legislation is a field which deserves analysis In essence, the law is one of the major means by which managers learn about and internalize socially responsible forms of behavior (Frederick 1998) There is a possibility that managers can overestimate the extent of their understanding of the law and erroneously conclude that they can judge which activities are legal and which are not These managers are needlessly exposing themselves to possible prosecution, lawsuits, and other legal actions (Heinzerling 1998) Federal regulations affect many of the strategies and tactics that firms might pursue There are constraints on such activities as hiring and firing employees, collusion with competitors, working with suppliers, personal selling, advertising, sales promotion, pricing, and sexual harassment, to name only some (Government Executive 1998; Robinson et al 1998) Further, regulations imposed by one agency to overcome a particular problem sometimes run counter to the regulations imposed by another agency (Dutton 1998) Changes in the regulations over time may compel managers to continuously monitor new laws For example, the US Department of Labor's Occupational Safety and Health Administration has recently been attempting to impose ergonomic standards on the workplace as a means of decreasing work hazards such as musculoskeletal disorders (Morgan 1999) Other areas that have witnessed recent alterations in regulations include internet communications (Schulman 1998), income taxes (Patterson 1998), S corporations (Saunders 1999), "make or buy" decisions (Levore 1998), personnel policies for disabled persons (Zugelder and Maurer 1998), green marketing (Brown and Karagozoglu 1998), franchising (Emerson 1998), and bankruptcy (Skeel 1998) Managers of small retailers and service companies often carry a more substantial burden than those who work for large enterprises Local, state, and regional managers in the employ of larger companies are not responsible for numerous activities regulated by the federal government, many of which are centered at the division or corporate level (such as procurement and advertising) Managers in smaller firms have a broader range of responsibilities and hence may have to be acquainted with a larger variety of regulations Further, large retail and service company managers frequently have recourse to specialized attorneys retained by the firm This arrangement is less frequently encountered in smaller operations Hypotheses This study investigated the degree to which a sample of small retail and service company managers could accurately differentiate between legal and illegal practices It also examined whether the perceptions of legality of small retail managers differed from the perceptions of small service firm managers A sample of store managers received a questionnaire containing a listing of business practices and were requested to examine the listing and to indicate the degree to which they believed each practice was legal or illegal …

Prospects and Constraints to Capital Markets Integration in Eastern and Southern Africa

Abstract: This article is underscored by the view that faced with constraints such as inadequate liquidity, the regulatory framework for public distribution of securities in many African emerging markets has had limited success in facilitating the development of competitive stock exchanges. It is argued therefore that the introduction of a regional stock exchange in the Common Market for Eastern and Southern Africa -COMESA -and the promotion of multiple listing and cross-border trade in securities would facilitate the development of more efficient and competitive capital markets in the region. This would help to ease the liquidity problem on markets such as the Lusaka Stock Exchange in a country like Zambia.

Cross-Border Mergers and Acquisitions and the Law

Abstract: Business Combination Agreements Securities Regulation and Stock Exchange Listing Requirements Tax Considerations International M&As and International Accounting Standards Financial Techniques and Legal Considerations in International Mergers and Hostile Take-Overs Antitrust Laws in the United States and Europe and their Extraterritorial Reach Bank Mergers and Bank Supervisory Law. (Part contents).

Changes in the Ownership structure of Stock Exchanges: from demutualisation to self-listing.

Abstract: Historically most exchanges were not-for-profit organizations owned by their members. Over the past few years, there has been a trend among exchanges to consider alternative governance structures to these traditional mutual or cooperative models. In most cases, the exchanges have been transformed into for-profit shareholder-owned enterprises. In particular, the most important European stock exchanges, following their demutualisation, have recently become public companies listed on their own exchanges. These changes were induced by an increase in competition among exchanges, due to technological progress and to deregulation (EU Directive 93/22/CEE). However these changes raise a number of questions and concerns regarding, for example, the increase of conflicts of interest among the regulators, the shareholders and the principal customers of the exchange.