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Corporate Motives For Public Shares Offering During The Financial Crisis

Author

Listed:
  • Grubisic Seba, Mihaela

    (The Institute of Economics, Zagreb)

  • Orsag, Silvije

    (University of Zagreb, Faculty of Economics and Business, Zagreb, Croatia)

Abstract

Despite greater constraints for obtaining bank loans, public shares’ offerings ceased in the SEE region since the onset of the financial crisis in 2008. With scarce IPOs and SEOs as well as debt offerings, Croatian capital market stands as prime example of mandatory shares’ listing rule application. Surveys of CFOs on going-public vs staying-private decisions are rare even in developed countries and are mostly conducted during the hot IPO markets. In this paper the motives of shares’ issuance are compared between publicly- and privately-held companies during the financial crisis. Research results showed that companies would not issue shares to the public to raise funds for their investments and growth.

Suggested Citation

  • Grubisic Seba, Mihaela & Orsag, Silvije, 2015. "Corporate Motives For Public Shares Offering During The Financial Crisis," UTMS Journal of Economics, University of Tourism and Management, Skopje, Macedonia, vol. 6(1), pages 99-114.
    • Handle: RePEc:ris:utmsje:0140
    as

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    References listed on IDEAS

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    Cited by:

    1. Mihaela Grubišiæ Šeba, 2017. "20 Years of the Croatian Capital Market," Zagreb International Review of Economics and Business, Faculty of Economics and Business, University of Zagreb, vol. 20(SCI), pages 41-58, April.

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    More about this item

    Keywords

    shares; initial public offering; CFOs’ survey; capital market; financial crisis; Croatia;
    All these keywords.

    JEL classification:

    • G30 - Financial Economics - - Corporate Finance and Governance - - - General
    • G38 - Financial Economics - - Corporate Finance and Governance - - - Government Policy and Regulation
    • N24 - Economic History - - Financial Markets and Institutions - - - Europe: 1913-
    • O16 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance

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