Date of Award
Spring 2012
Document Type
Open Access Honors Thesis
Degree Name
Bachelor of Science in Management
Department
Accounting and Finance
Advisor
Lucia Silva-Gao
Director
Jeffrey Keisler
Subject Categories
Portfolio and Security Analysis
Abstract
There is substantial evidence that Corporate Venture Capitalists (CVCs) backing provides value to companies. This study aims to find what the benefits provided by CVCs are to public companies after they have gone through their initial public offerings (IPOs) and have begun trading on the stock market. Matched by CVC backing, Tobin q, leverage ratio, research and development (R&D) ratio, size of market capitalization, and the sector in which the firm operates, over a given period of time, this study explores whether or not CVCs add value to companies. Additionally, this study analyzes the success companies backed by CVCs. The findings were that (a) firms backed by at least one CVC had a high chance of succeeding over firms that were not backed by CVCs and (b) CVC backing destroys value in a firm.
Creative Commons License
This work is licensed under a Creative Commons Attribution-Noncommercial-Share Alike 3.0 License.
Recommended Citation
Bajaj, Devansh, "Effect of Corporate Venture Capitalism on the Post-IPO Performance of Companies" (2012). Honors Thesis Program in the College of Management. 7.
https://scholarworks.umb.edu/management_hontheses/7