Open Access Article SciPap-759
Macroeconomic and Capital Market Determinants of Initial Public Offerings: A Time-Series Analysis in the Polish Capital Market
by Tomáš Meluzín 1,*, Marek Zinecker 2 and Jana Meluzínová 3

1 Faculty of Business and Management, Department of Economics, Brno University of Technology, Kolejní 2906/4, Brno 61200, Czechia

2 Faculty of Business and Management, Department of Economics, Brno University of Technology, Kolejní 2906/4, Brno 61200, Czechia

3 Faculty of Business and Management, Department of Economics, Brno University of Technology, Kolejní 2906/4, Brno 61200, Czechia

* Authors to whom correspondence should be addressed.

Abstract: The main objective of this study is to indicate the influence of local macroeconomic and capital market factors on the values of IPOs in Poland over the period of 2003 to 2012. Our sample includes 330 local enterprises that conducted an IPO on the Main Market of the Warsaw Stock Exchange after Polish EU accession. The models for which estimation results are presented in this paper reveal that the individual country regression analysis working with untransformed IPO values (Model 1) did not generate significant parameter estimates. On the other hand, a logarithmic transformation of IPO values leads to persistently significant estimates for our regressions. Based on the Model (2) the empirical evidence supported the hypothesis that Polish ten-year government bond yields (indicating the price of competing financing funds) have explanatory power for IPO values. However, our assumption that also other macroeconomic- and capital market indicators have explanatory power for IPO values in the Polish capital market could not be supported by empirical evidence.

Keywords: Macroeconomics, Going Public, Initial Public Offering, IPO, Capital Market, Determinants, Poland

JEL classification:   E44 - Financial Markets and the Macroeconomy,   G23 - Non-bank Financial Institutions • Financial Instruments • Institutional Investors,   G32 - Financing Policy • Financial Risk and Risk Management • Capital and Ownership Structure • Value of Firms • Goodwill

SciPap 2015, 23(2), 759

Received: 1 May 2015 / Accepted: 2 September 2015 / Published: 16 September 2015