What do we know about delistings? A survey of the literature

Constant Djama, Isabelle Martinez and Stéphanie Serve

No 2012-38, THEMA Working Papers from THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise

Abstract: Relative to the decision to go public, the decision to delist is less studied in the corporate finance literature despite its importance in the life of the firm. This article surveys the recent literature, both theoretical and empirical, regarding delisting in an international context (Anglo-Saxon countries and Continental Europe). We provide a review of the growing research on delisting based on the distinction between voluntary and involuntary delistings. For voluntary delistings, also called “Going Private Transactions” (GPTs), we analyze the incentives for firms to go private and the financial characteristics of these firms. Next, we focus on involuntary delistings: why do firms undergo a delisting (violation of stock exchange requirements, poor performance) and what strategies did the managers implement to attempt to avoid delisting? Finally, we are interested in the impact of corporate governance on delisting.

Keywords: delisting; going private; corporate governance (search for similar items in EconPapers)
JEL-codes: G34 (search for similar items in EconPapers)
Date: 2012
New Economics Papers: this item is included in nep-bec
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://thema.u-cergy.fr/IMG/documents/2012-38.pdf (application/pdf)

Related works:
Working Paper: What do we know about delistings? A survey of the literature (2012)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ema:worpap:2012-38

Access Statistics for this paper

More papers in THEMA Working Papers from THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise Contact information at EDIRC.
Bibliographic data for series maintained by Stefania Marcassa ( this e-mail address is bad, please contact ).