An empirical study of the effect of venture capital participation on the accounting information quality of IPO firms

• 作者: Jinjin Han Rula Sa Weixing Cai Zhiying Hu
• 来源期刊: 中国会计学刊：英文版
• 学科: 经济
• 关键词: VENTURE capital EARNINGS management IPO Lock-up pe
• 年，卷（期）: 2012,（3）
• 页码范围: 251-268
• 页数: 18页
• 分类号: F832.51

摘要

Using a sample of IPO companies on the Shenzhen Small and Median Enterprise Board and the ChiNext Stock Market between 2005 and 2009, this paper analyzes the effect of venture capital participation on accounting information quality. We find that venture capitalists have a significant effect on earnings management, with reduced discretionary accruals before the expiration of the equity lock-up period and enhanced discretionary accruals after the expiration of the equity lock-up period. Our findings support the moral hazard hypothesis of venture capital, but not the certification/monitoring role of venture capital in IPOs. In addition, we find that venture capital plays a more important role in the earnings management of non-state-owned IPO companies than of state-owned companies.