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Table 8 Variable definition and description

From: The effects of entrepreneurial long-term commitment on post-IPO performance: Chinese evidence

Variable name Definition
TREATED Indicator variable: Equals 1 if the sample firm has at least one controlling shareholder with foreign residency rights; 0 otherwise
POST Indicator variable: Equals 1 if the sample period lies in the post-IPO 3-year period of t + 1 to t + 3 year; 0 if the sample period lies in the IPO current year, and the pre-IPO 2-year period of t–1 to t–2 year
UNDERPRICE_MKTADJ Market adjusted IPO underpricing: Calculated as (close price at IPO first day/IPO price)–1) minus market return from IPO issue to listing
BHAR_1YEAR Buy-and-hold abnormal return (BHAR) during the post-IPO 1-year with total value-weighted return as the market index
BHAR_2YEAR Buy-and-hold abnormal return (BHAR) during the post-IPO 2-year with total value-weighted return as the market index
BHAR_3YEAR Buy-and-hold abnormal return (BHAR) during the post-IPO 3-year with total value-weighted return as the market index
SIZE_IPO Company size at IPO: Calculated as natural log of book value of total assets
ROA_IPO ROA at IPO: Calculated as operating income/lagged total assets
LEV_IPO Leverage at IPO: Calculated as long-term debt/total assets
OFFER_SIZE IPO issue size: Calculated as natural log of new shares issues
FIRM_AGE IPO firm age: Calculated as the yearly distance between firm establishment and IPO date
LEADUNDERWRITER Indicator variable: Equals 1 if an underwriter is ranked as one of the top 10 underwriters according to the underwritten new share issue in the previous year; and 0 otherwise
LOG_SALES Natural log of sales
LOG_EMPLOY Natural log of number of employees
ROA Operating income/lagged total assets
LEV Long-term debt/total assets
CAPEX_TA Investment on fixed assets, intangible assets and other long-term assets/total assets
LOG_RD Natural log of (1 + R&D expenditure)
LOG_PATENT Natural log of (1 + number of patent applications)
PATENT_RD (Number of patent application/R&D expenditure) × 10,000