TY - JOUR
T1 - A Note on the Information Content of Relocating Corporate Domicile
T2 - A Trading Volume Approach
AU - Cheung, Yan Leung
AU - Lui, Yu Hon
N1 - Funding Information:
*The authors are, respectively, principal lecturer and senior lecturer in the Department of Economics and Finance, City Polytechnic of Hong Kong. This study was supported by the Faculty Research Grant of Hong Kong Baptist College. An earlier version of the paper was presented at the Annual Meeting of the Academy of International Business, 11-14 October, 1990, Toronto. The authors wish to thank two anonymous referees for their helpful suggestions and Yiu-Tung Fok for computation assistance. All errors are their own. ‘Refer to Articles 5 and 12 of the Basic Law of the Hong Kong Special Administrative Region of the People’s Republic of China. *Jardine Matheson was one of the oldest and largest companies domiciled in Hong Kong. The announcement resulted in a drop of nearly 100 points (4%) in the local share market’s Hang Seng index.
PY - 1992/9
Y1 - 1992/9
N2 - Overseas location of corporate domicile is not new for Hong Kong. Before the eighties, some companies operating in Hong Kong, principally shipping companies and financial institutions, registered overseas for tax purposes. Since 1989 there has been a rapid increase in the number of companies deciding to relocate, including industrial companies. This study examinies the association between sharemarket trading and the relocation announcement. The results indicate that unusually large trading volumes are observed immediately after the announcement day.
AB - Overseas location of corporate domicile is not new for Hong Kong. Before the eighties, some companies operating in Hong Kong, principally shipping companies and financial institutions, registered overseas for tax purposes. Since 1989 there has been a rapid increase in the number of companies deciding to relocate, including industrial companies. This study examinies the association between sharemarket trading and the relocation announcement. The results indicate that unusually large trading volumes are observed immediately after the announcement day.
UR - http://www.scopus.com/inward/record.url?scp=84948884001&partnerID=8YFLogxK
U2 - 10.1080/00014788.1992.9729453
DO - 10.1080/00014788.1992.9729453
M3 - Article
AN - SCOPUS:84948884001
SN - 0001-4788
VL - 22
SP - 377
EP - 380
JO - Accounting and Business Research
JF - Accounting and Business Research
IS - 88
ER -