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An Empirical Analysis of Corporate Performance According to Existence and Types of Venture Capital  

Lee, Kwang Yong (YM Construction)
Shin, Hyun-Han (School of Business, Yonsei University)
Kim, So Yeon (Yonsei Business Research Institute)
Publication Information
Asia-Pacific Journal of Business Venturing and Entrepreneurship / v.14, no.2, 2019 , pp. 15-30 More about this Journal
Abstract
This study investigates the effects of venture capital investment and corporate venture capital investment on the performance of IPOs listed on KOSDAQ between 2000 and 2014. We classified venture firms with venture capital-backed companies and non-venture capital-backed companies, having the former of which further divided into corporate venture capital-backed companies and independent venture capital-backed companies. The time window of the analysis was set to between 2 years before and 3 years after IPO. Main results of this study reveal that there is little difference between venture capital-backed companies and non-venture capital-backed companies in terms of profitability before and after going public. However, we found out that after IPO venture capital-backed companies display higher ROA than independent venture capital-backed companies or non-venture capital-backed companies, suggesting that corporate venture capital-backed companies might be more advantageous in growing a venture capital ecosystem in Korea.
Keywords
Venture Capital; IPO; Corporate Venture Capital(CVC); Independent Venture Capital(IVC);
Citations & Related Records
Times Cited By KSCI : 2  (Citation Analysis)
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