Delisted versus voluntary delisted versus remain listed: financial disclosure timing

ABSTRACT

We focus in the period of announcement of accounting information for companies listed in an organized market and we re-examine their probability of delisting, voluntarily or not. Adopting the same framework, consideration is given to the assumption that investors utilize market information when accounting data are published. The analysis provided indicates that investors should pay attention to the financial disclosure timing. Our investigation demonstrated that even the short period of three months is quite important to making investment decisions.

KEYWORDS:

• Delisting
• voluntary delisting
• ordered logit
• polytomous logit
• financial disclosure timing

JEL CLASSIFICATION:

• G14
• C25

Disclosure statement

No potential conflict of interest was reported by the authors.

Notes

¹ In the process of our re-analysis, we were lucky enough, since there was none of the listed companies included in our sample that was delisted during the quarter January-March.

Additional information

Funding

Spyros Missiakoulis gratefully acknowledge financial support from the National and Kapodistrian University of Athens [project 70/4/11696].