Revisiting IPO underpricing and underperformance: Evidence from West Africa
Félix ZOGNING NGUIMEYA

Abstract
This paper discusses two known phenomena in financial markets: underpricing and underperformance. We examine whether these two phenomena are also present on the West african financial market. Our results indicate that listed companies on the stock exchange in West Africa have generally experienced underpricing and underperformance. However, contrary to OECD markets, they have experienced a significant rise after the downtrend. In addition, state-owned companies have almost always shown good performance and have not experienced underperformance.

Full Text: PDF