The Effects of Pre‐issue Information Releases on Seasoned Equity Offerings
研究增发股票前，公司发布重大投资、财务预测修正和股利信息能否帮助投资者预判增发并降低信息不对称，发现这些信息能帮助预判，但只有增加现金股利能减少负面交易量反应。
Abstract: Because of information asymmetry, managers tend to make pre‐issue disclosures to reduce the costs of seasoned equity offerings. This paper discusses whether pre‐issue information releases of major investments, financial forecast revisions and dividends help the investors to anticipate seasoned equity offerings and assist in reducing the information asymmetry when the managers announce equity issues. We analyze price and trading volume reactions to equity issue announcements to infer the degree of information asymmetry. Consistent with our expectations, we find that these three types of pre‐issue disclosures can help investors to anticipate equity issues. However, after controlling for anticipation and cross‐sectional variation in uncertainty, we find none of the disclosures are capable of reducing the price drop at issue announcement, and only the disclosures of increased cash dividends have the effect of reducing the negative trading volume reactions. In addition, both the price and trading volume reactions are not related to the intervals between the disclosures and the issue announcements.