Differences in underpricing returns between REIT IPOs and industrial company IPOs

This paper follows Chan, Stohs, andWang (2001), which argues that the underlying value of the real estate is not by itself the reason for the very substantial differences in underpricing returns between real estate investment trust (REIT) IPOs and industrial company IPOs.We use variables identified in previous studies that have helped explain the underpricing of industrial company IPOs to help explain the underpricing of property trust IPOs. We find that the prospectus forecast dividend yield is a critical variable in the valuation and hence underpricing of REIT IPOs compared to industrial company IPOs. The sentiment towards the market and whether or not the issue is underwritten also impact the underpricing of REITs but the impact is much less than on industrial company IPOs.

A non-fullerene electron acceptor based on central carbazole and terminal diketopyrrolopyrrole functionalities for efficient, reproducible and solution-processable bulk-heterojunction devices

A novel, solution-processable non-fullerene electron acceptor, 6,6′-((9-(heptadecan-9-yl)-9H-carbazole-2,7-diyl)bis(thiophene-5,2-diyl))bis(2,5-bis(2-ethylhexyl)-3-(thiophen-2-yl)-2,5-dihydropyrrolo[3,4-c]pyrrole-1,4-dione) (coded as N7), based on central carbazole and terminal diketopyrrolopyrrole building blocks was designed, synthesized and characterized. N7 displayed excellent solubility, thanks to its design allowing incorporation of numerous lipophilic chains, thermal stability, and afforded a 2.30% power conversion efficiency with a high open-circuit voltage (1.17 V) when tested with the conventional donor polymer poly(3-hexylthiophene) in solution-processable bulk-heterojunction devices. To our knowledge, not only is N7 the first reported chromophore based on carbazole and diketopyrrolopyrrole functionalities but the open-circuit voltage reported here is among the highest values for a single junction bulk-heterojunction device that has been fabricated using a simple device architecture, with reproducible outcomes and with no special treatment.

Rock slope stability analyses using extreme learning neural network and terminal steepest descent algorithm

The analysis of rock slope stability is a classical problem for geotechnical engineers. However, for practicing engineers, proper software is not usually user friendly, and additional resources capable of providing information useful for decision-making are required. This study developed a convenient tool that can provide a prompt assessment of rock slope stability. A nonlinear input-output mapping of the rock slope system was constructed using a neural network trained by an extreme learning algorithm. The training data was obtained by using finite element upper and lower bound limit analysis methods. The newly developed techniques in this study can either estimate the factor of safety for a rock slope or obtain the implicit parameters through back analyses. Back analysis parameter identification was performed using a terminal steepest descent algorithm based on the finite-time stability theory. This algorithm not only guarantees finite-time error convergence but also achieves exact zero convergence, unlike the conventional steepest descent algorithm in which the training error never reaches zero.

Effect of company size on occupational health and safety

It is mandatory in all Australian jurisdictions for construction companies to provide a safe working environment for their workers and sub-contractors. Consequently, occupational health and safety (OHS) is a major issue for construction companies mainly due to the fear of prosecution. The introduction of zero tolerance by the Victorian government “WorkCover Authority” in 1999 provided increased legislative OHS standards for the construction industry. This has placed an increased burden on construction companies especially small firms that are not in a position of financial strength. This research is based on benchmarking study of OHS performance of 44 construction companies in
Victoria, Australia. The results show that the size of the company is a major contributing factor to their OHS performance. Small companies employing less than 25 employees have comparatively low levels of OHS performance compared to larger firms. Company size is a limiting factor that impacts on the ability of small firms to implement comprehensive OHS plans. This research calls into question that notion that increasing legislative requirements will improve OHS outcomes.

Environmental incidents in a developing country and corporate environmental disclosures : a study of a multinational gas company

Purpose – The purpose of this paper is to examine the environmental disclosure initiatives of Niko Resources Ltd – a Canada-based multinational oil and gas company – following the two major environmental blowouts at a gas field in Bangladesh in 2005. As part of the examination, the authors particularly focus on whether Niko’s disclosure strategy was associated with public concern pertaining to the blowouts.
Design/methodology/approach – The authors reviewed news articles about Niko’s environmental incidents in Bangladesh and Niko’s communication media, including annual reports, press releases and stand-alone social responsibility report over the period 2004-2007, to understand whether news media attention as proxy for public concern has an impact on Niko’s disclosure practices in relation to the affected local community in Bangladesh.
Findings – The findings show that Niko did not provide any non-financial environmental information within its annual reports and press releases as a part of its responsibility to the local community which was affected by the blowouts, but it did produce a stand-alone report to address the issue. However, financial environmental disclosures, such as the environmental contingent liability disclosure, were adequately provided through annual reports to meet the regulatory requirements concerning environmental persecutions. The findings also suggest that Niko’s non-financial disclosure within a stand-alone report was associated with the public pressures as measured by negative media coverage towards the Niko blowouts.
Research limitations/implications – This paper concludes that the motive for Niko’s non-financial environmental disclosure, via a stand-alone report, reflected survival considerations:
the company’s reaction did not suggest any real attempt to hold broader accountability for its activities in a developing country.
Originality/value – This is the first known paper that investigates a multinational company’s disclosure behavior in relation to environmental incidents which occurred in a local community.

Differences in underpricing of A-REIT IPOs and Australian property company IPOs

Purpose – A variety of papers have analyzed the underpricing of REIT IPOs or property company IPOs. The purpose of this paper is to compare the two sectors and examines differences in the underpricing of the two types of IPOs. Design/methodology/approach – An OLS regression is used to identify factors influencing the underpricing of A-REIT and property company IPOs from 1994 until 2014. Findings – This study finds that A-REIT IPOs have a significantly lower underpricing on average than Australian property company IPOs. The time taken to list appears to influence the underpricing of both A-REIT IPOs and property company IPOs, in that issues that are filled more quickly have higher underpricing but with the magnitude of the impact being less for A-REITs. The sentiment toward the stock market also appears to impact on the underpricing of A-REIT and property company IPOs again with the magnitude of the impact being less for A-REITs. Practical implications – The paper provides information to new A-REIT and property company issuers, underwriters and investors. Originality/value – The study is the first to compare and examine the differences in the underpricing of both REITs and property companies in the one country over the same time period.

Grassroots energy: a case study of active citizenship and public communication in risk society

In 2001, the Victorian state government approved the construction of a 500-megawatt power station at Stonehaven by US multinational corporation, AES Power One. In 2002 plans had stalled and the company had withdrawn from the process. By March, 2002 the state government flagged that the power station was no longer required to meet power supply demands. This paper applies Beck’s theories of risk society and reflexive modernisation to a case study. It asks to what extent is Australia a risk society? Is the Stonehaven case part of a larger-scale cultural and political movement and if so what are the consequences for corporate and civil citizenship and public communication in Australia?

Stakeholder and gender characteristics of mining and energy IPO boards of directors

The mining and energy sectors are particularly publicly sensitive sectors and subject to a high degree of public scrutiny. Evan and Freeman (1993) suggest that such public scrutiny needs may be better met by having direct public stakeholder representation on the board of directors. Similarly, Bilimoria (2000) argues a strong commercial case for engaging women on boards. This paper investigates the number and proportion of non equity holding public stakeholder directors and the number and proportion of women directors on the boards of Australian mining and energy company initial public offerings (IPOs) and reports a paucity of public stakeholder directors and also a low proportional female representation on such IPO boards.

Comparability of German and Australian disclosures in financial reports

Reports an international comparison between Australian and German company annual reports. The theoretical framework was drawn from Hofstede's analysis of national cultural value dimensions and Gray's accounting sub-cultural values. The results, using the method developed by Van der Tas, showed low levels of international harmony on accounting policies.

Costco and the Aussie shopper : a case study of the market entry of an international retailer

Retailing is a globalised industry, yet retailers must respond to local shopping habits if they are to be perceived as legitimate by the host country customers. However, some retailers may be unable or unwilling to respond to all customer requirements. Costco, the membership warehouse club retailer, has been successful in its international expansion efforts, establishing its first Australian store in Melbourne in 2009. In the first 12 months of operation, the store became one of Costco's top five stores in the world. We investigated this success by focussing on the customer and used institutional theory to analyse what concessions were made by the customer and the company. Data were collected from consumer interviews, site visits and secondary media and industry sources. Analysis revealed negotiations based on the rejection, acceptance or adaptation of the regulative, normative and cultural cognitive aspects of the Australian shopper and the Costco business model. Customers made concessions to accommodate the new business model, and Costco responded to entrenched Australian shopping habits. This case is the first to explore the outcome of retail internationalisation from the customers' perspective, revealing the concept of mutual concessions. The interaction and subsequent adaptation by both customer and retailer have resulted in the institutionalisation of new shopping norms in the host country and success for the international retailer.

Naphthalene diimide-based non-fullerene acceptors for simple, efficient, and solution-processable bulk-heterojunction devices

Two solution processable, non-fullerene electron acceptors, 2,2′-(((2,7-dioctyl-1,3,6,8-tetraoxo-1,2,3,6,7,8-exahydrobenzo[lmn][3,8]phenanthroline-4,9-diyl)bis(thiophene-5,2-diyl))bis(methanylylidene))dimalononitrile (R1) and (2Z,2′Z)-3,3′-((2,7-dioctyl-1,3,6,8-tetraoxo-1,2,3,6,7,8-hexahydrobenzo[lmn][3,8]phenanthroline-4,9-diyl)bis(thiophene-5,2-diyl))bis(2-(4-nitrophenyl) acrylonitrile) (R2), comprised of central naphthalene diimide and two different terminal accepting functionalities, malononitrile and 2-(4-nitrophenyl)acetonitrile, respectively, were designed and synthesised. The central and terminal accepting functionalities were connected via a mild conjugated thiophene linker. Both of the new materials (R1 and R2) displayed high thermal stability and were found to have energy levels matching those of the archetypal electron donor poly(3-hexylthiophene). A simple, solution-processable bulk-heterojunction device afforded a promising power conversion efficiency of 2.24% when R2 was used as a non-fullerene electron acceptor along with the conventional donor polymer poly(3-hexylthiophene). To the best of our knowledge, the materials reported herein are the first examples in the literature where synchronous use of such accepting blocks is demonstrated for the design and development of efficient non-fullerene electron acceptors.

Do you really want to ask an underwriter how much money you should leave on the table?

This paper analyses whether the owners of companies seeking to list will leave less money on the table if underwriters are employed to price and market the issue. Our findings indicate that limited liability and Industrial company initial public offerings (IPOs) that have used underwriters have left
more money on the table than those not employing underwriters. Not only is there a direct cost in employing an underwriter but this study suggests there might also be an indirect cost. We also find that a positive forecast earnings per share yield may be useful in reducing the amount of money left on the table.

The gender composition of boards of property trust IPOs in Australia from 1994 to 2004

This study investigates the gender composition of the boards of directors of Australian property trust IPOs from 1994 to 2004. Like mining and industrial company IPOs, we find that property trust IPOs in Australia generally do not require female directors for the initial equity capital raising. We also find that larger IPOs during 1994 to 1999 tended to engage more women directors but that this relation was not significant in property trust IPOs from 2000 to 2004.

The gender composition of boards of property trust initial public offerings

This paper follows Dimovski and Brooks (2004) which identified a relatively low proportion of female directors on the boards of Australian mining and industrial company initial public offerings (IPOs). This study investigates the gender composition of the boards of directors of Australian property trust IPOs from 1994 to 1999. We find that property trust IPOs in Australia generally do not require female directors for the capital raising. We also find that larger IPOs tend to engage more women directors but that retail property trust IPOs tend to engage fewer women directors.