An empirical analysis of Post-IPO operating performance of Indian companies

Abstract

The aim of the project would be to do a comprehensive empirical study of whether the post-IPOoperating performance of Indian companies have increased or decreased 3 years post-IPO. Further wealso suggest some possible determinants of post-IPO operating performance and test the same againstour sample of Indian companies. Our research unlike all previous researches on IPOs is focused on adeveloping country (India) rather than a developed country. We have used a sample of 139 IPOs in Indiaof which 39 are PE/VC backed and 100 are non PE/VC backed across a time frame of 10 years (1997-2007). We have used a cross sectional regression analysis on the data in order to gauge the possiblefactors that could affect post-IPO operating performance.