Research On The IPO Debut And Long-Term Market Performance Of Chinese Green Enterprises

Due to the increasingly serious global environmental pollution,a series of social responsibility problems caused by it have attracted the close attention of scholars.So far,there have been two hypotheses about the impact of social responsibility on corporate market performance: overperformance and underperformance.And as a kind of social responsibility,"green" also has inconsistent conclusions.In recent years,under the new normal of China's economy,"Green Economy" becomes the connotation of the new normal,energy conservation and emission reduction of the industrial are the key to industrial upgrading,and "Green Development" has become the value of the stock market and the core element of investment culture,and more and more investors begin to pay attention to green enterprises.As the main direct financing method in China,the IPO(Initial Public Offering)has become one of the means to accelerate the stable financing and development of green enterprises.In China,although green enterprises will bring some positive social benefits to the society,due to the large investment in the early stage and the restriction of non-financial indicators,the benefits cannot be directly converted into the economic benefits of enterprises,which will eventually lead to the instability of IPO pricing and long-term IPO market performance of green enterprises after listing.In addition,even for the same green enterprises,the efficiency of the use of green technologies varies from enterprise to enterprise,which leads to the difference between social benefits and environmental benefits.So will this lead to differences in first-day and long-term market performance between green IPOs? Based on this,this paper explores the IPO debut and long-term market performance of Chinese green enterprises.In other words,whether the first-day return rate and the excess cumulative return rate of 1,2 and 3 years after IPO of green enterprise IPO are higher than that of non-green enterprise IPO,and whether green factor and green efficiency factor can constitute the influencing factors of the IPO market performance of enterprises.This paper takes the newly listed IPO of A-share market from 1995 to 2015 as the research object,and divides the green and non-green enterprises according to the energy conservation and environmental protection section of Great Wisdom and the green concept in the WIND database.When studying the first-day return rate of IPO,the explained variables are the first-day return rate without market adjustment and the first-day return rate after market adjustment,and when studying the long-term performance of IPO,the explained variables are the accumulated excess return of 1 year,2 years and 3 years after IPO based on CAR,BHAR and TBHAR methods.Taking information asymmetry,investor sentiment and the basic level of the company as control variables and green factor dummy variables were taken as explanatory variables.This paper uses multiple linear regression methodnd to explore whether the IPO debut and long-term performance of green enterprises are better than that of non-green enterprises.In addition,according to the transformation process of China's green finance,we can judge the market performance of the IPO of two types of enterprises in the full sample period and the sub-sample period(green finance budding stage and green finance development stage).In addition,according to the green evaluation index,DEA model is used to measure the use efficiency of green technologies of green enterprises.Moreover,DEA model is used to measure the use efficiency of green technologies of green enterprises,and green enterprises were ranked according to the use efficiency of green technologies,they were classified into low green efficiency,medium green efficiency and high green efficiency according to 30% and 70% of the ranking points.The green efficiency factor dummy variable was used as the explanatory variable to study the influence of the use efficiency of green technology on the return rate of green enterprises on the day of IPO and the excess accumulated return in 1,2 and 3 years after IPO.The empirical results indicate that:(1)In terms of the IPO market performance on the first day,both in the full sample period and the sub-sample period,the green factor has a significant negative correlation with the first-day return rate of the IPO,and the first-day return rate of the IPO of green enterprises is significantly lower than that of the IPO of non-green enterprises.(2)From the perspective of the long-term market performance of the IPO,the excess cumulative return of IPO of green enterprises in the long term is significantly higher than that of IPO of non-green enterprises in the corresponding year.Moreover,there is a significant positive correlation between the green factor and the excess cumulative return of IPO in the full sample period and the green finance development period,but this phenomenon is not significant in the green finance germination period.(3)From the perspective of green enterprises,although the degree of green refinement of green enterprises is negatively correlated with the IPO first-day return of green enterprises and positively correlated with the long-term IPO performance of green enterprises,the results are not significant.