| IPO of China's stock market has a high rate of issue under pricing for a long time. This shows that the IPO pricing efficiency of China's stock market is relatively low, and the consequences resulted by this are very serious:it handicaps the exertion of the financial function in our country's stock market, reduces the efficiency of the allocation of resources, exacerbates the speculative atmosphere of the whole stock market, and at last it affects the long-term and healthy development of the entire stock market.Theoretical and empirical research to prove, IPO pricing effects of stock offerings are an important factor in market efficiency. This paper attempts to analyze the world's major IPO pricing, the developing history of our country's IPO as well as different pricing of our IPO empirical analysis of the results. Through the research about the rate of first day under pricing and through the choice of a part of the representative company's value to carry on the multivariate linear regression analysis, and the author also discuss the value variable's degree of influence on the rate of first day under pricing. In addition, on the basis of the empirical test results, this paper carry on the deep analysis on the reason which causes the low pricing efficiency of our country's present book building. Finally, this paper gives some valuable suggestion which can improve our country IPO pricing mechanisms, raise the IPO market efficiency, and perfect the function of the stock market.This paper validates the rational issues of IPO pricing in different periods through the empirical analysis. Through the regressive analysis, it finds that the issue price and success rate are the important factors which affect the rate of first day under pricing. At the same time, it can prove that the book building which our country are carrying on is not the complete book building, and after the practicing of this system, the new stock's under pricing rate does not decline significantly. |
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