Marisa Laokulrach
The study examines the underpricing of 142 initial public offerings (IPOs) listed in Market for Alternative Investment (MAI) in Thailand during 2010-2020. In addition, this study aims to explore the aftermarket performance of IPOs. Results show the existence of IPOs underpricing on the first trading day. The buy-and-hold abnormal returns for six-month, twelve-month, eighteen-month, and twenty-four-month holding period are used to measure the aftermarket performance of IPOs. IPO offering price is used in outperformance analysis. The outcomes of study identify the outperformance of IPOs returns relative to market return over six- and twelve-month holding period. IPOs investment tends to underperform the market after two-year holding period. These identify the inefficient capital market in MAI providing the opportunity for investors in using public information for abnormal returns generation.