Journal of Business & Economic Policy

Is there IPOs’ under Pricing on the MAI?
Amporn Soongswang

Abstract
This study features Thai IPOs’ performances evaluating initial returns of the IPO stocks first listing on the MAI between 2003 and 2015 (January-June). The sample including 123 IPO firms was examined whether or not they significantly under price using several metrics. For example, both the non-adjusted and market-adjusted initial returns approaches, three types of calculations and a significance statistic test were applied. The results suggest that the average of initial returns of the total IPO stocks are significant and positive at 56.26%, compared to those of -0.12% and -0.14% of the MAI measured by the MAI index(method1) and the MAI index (method2)consecutively. The IPO stocks outperform the market on average 56.38%,as estimated using the MAI index (method1) and 56.40%, when assessed applying the MAI index (method2). Finally, it is concluded that Thai IPO companies gain significant and substantial initial returns on the MAI

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