Article ID Journal Published Year Pages File Type
5083888 International Review of Economics & Finance 2012 9 Pages PDF
Abstract
We investigate possible reasons for voluntary delistings by U.S. firms from the Tokyo Stock Exchange from 1982 to 2005. We find that the small shareholder base, as measured by low turnover, for U.S. stocks in Japan helps to explain the voluntary foreign delistings. This finding is consistent, from the converse, with the foreign listing literature, which cites enhanced shareholder base and liquidity as two of the reasons for foreign listing. Further investigations rule out the sample firms' financial and operating performances, including the percentage of export sales, as a likely reason for the low turnover and, thus, the voluntary foreign delistings.
Related Topics
Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
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