This research is based on native companies and underwriters¡¦ perspectives to discuss the advantages and decision making process of listing a company¡¦s stocks in Taiwan capital market or in oversea markets. It further analyzes the strengths and weaknesses of Taiwan and Hong Kong capital markets in legal and trading aspects, when also taking the costs into consideration. By analyzing the advantages/disadvantages of each capital market and the encourage policies of both governments, it illustrates the factors that influence a company to choose a favorable market in order to maximize its value. This research compares the following issues¡G
A. The IPO regulations of Taiwan and Hong Kong capital markets
B. The scales of Taiwan and Hong Kong capital markets
C. The costs for IPO in Taiwan and Hong Kong capital markets
By referring related articles, it induces the following results¡G
A. Common benefits from IPO¡GMore convenient channels for fund raise, increasing international reputation, enhancing internal control system and management, brain gain, more Merger & Acquisition opportunities, and providing shareholders flexible financial planning.
B. Planning IPO in local or foreign markets, a company¡¦s consideration would be different. The differentiation is mainly from¡G
1. different goals and strategies
2. different costs and benefits
3. different requirements and qualification for going public.
C. The reasons for low management fee are¡G
1. Since underwriters mainly focus on capital gain, not management fee, there is not enough motivation for them to adjust the rate of management fee.
2. numerous underwriters result fierce price competition
3. management fee is related to industry/economy growth and recession
4. Investors might doubt whether the probability of their participating in security allocations is not equal to others.
Last, this research provides the conclusion and recommendations. Via comparing these two capital markets, we look for the best solution to change the inferior position of Taiwan capital market and underwriters, and at least provide useful information for our government authorities, underwriters, and companies who are interested in going public in Hong Kong.
| Identifer | oai:union.ndltd.org:NSYSU/oai:NSYSU:etd-0815107-114547 |
| Date | 15 August 2007 |
| Creators | Min, Chun |
| Contributors | Lyu Jye cherng, Huang Jen Tsung, none |
| Publisher | NSYSU |
| Source Sets | NSYSU Electronic Thesis and Dissertation Archive |
| Language | Cholon |
| Detected Language | English |
| Type | text |
| Format | application/pdf |
| Source | http://etd.lib.nsysu.edu.tw/ETD-db/ETD-search/view_etd?URN=etd-0815107-114547 |
| Rights | withheld, Copyright information available at source archive |
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