Malaysia stock price reaction to company's name change: analysis and evidence

A corporate name is an identity and a medium of communication between the public and a company. It is also likely that corporate name change serves as a signal to convey favourable information about the management's strategy on the company's future direction. The purpose of this study is t...

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Main Author:	Lavenyaa, Tharmamurthy
Format:	Thesis
Language:	eng eng
Published:	2021
Subjects:	HG Finance
Online Access:	https://etd.uum.edu.my/10397/1/depositpemission_s826678.pdf https://etd.uum.edu.my/10397/2/s826678_01.pdf
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id	my-uum-etd.10397
record_format	uketd_dc
spelling	my-uum-etd.103972023-03-09T01:29:41Z Malaysia stock price reaction to company's name change: analysis and evidence 2021 Lavenyaa, Tharmamurthy Nordin, Norhafiza School of Economics, Finance & Banking School of Economics, Finance & Banking HG Finance A corporate name is an identity and a medium of communication between the public and a company. It is also likely that corporate name change serves as a signal to convey favourable information about the management's strategy on the company's future direction. The purpose of this study is to investigate the influence of corporate name change announcements on the Malaysian stock market price. The study employs Market Model Event Study methodology. The sample period taken for the study is January 2015 to August 2021. A sample of 65 companies listed in Bursa Malaysia is selected as clean data to analyse the market's reaction to the announcements. An event window 120 days was identified as the window before the event date. At the same time, an event window of 60 days was identified after the event. The event date (t=0) refers to the first available official announcement available on the Bursa Malaysia website regarding the name change made by the company. The findings of this study indicate that corporate name changes have no impact on shareholder wealth. Investors in Malaysia are generally selective in accepting news on the corporate name change. It seems like only those perceived to benefit them in the future are accepted enthusiastically. 2021 Thesis https://etd.uum.edu.my/10397/ https://etd.uum.edu.my/10397/1/depositpemission_s826678.pdf text eng staffonly https://etd.uum.edu.my/10397/2/s826678_01.pdf text eng public other masters Universiti Utara Malaysia
institution	Universiti Utara Malaysia
collection	UUM ETD
language	eng eng
advisor	Nordin, Norhafiza
topic	HG Finance
spellingShingle	HG Finance Lavenyaa, Tharmamurthy Malaysia stock price reaction to company's name change: analysis and evidence
description	A corporate name is an identity and a medium of communication between the public and a company. It is also likely that corporate name change serves as a signal to convey favourable information about the management's strategy on the company's future direction. The purpose of this study is to investigate the influence of corporate name change announcements on the Malaysian stock market price. The study employs Market Model Event Study methodology. The sample period taken for the study is January 2015 to August 2021. A sample of 65 companies listed in Bursa Malaysia is selected as clean data to analyse the market's reaction to the announcements. An event window 120 days was identified as the window before the event date. At the same time, an event window of 60 days was identified after the event. The event date (t=0) refers to the first available official announcement available on the Bursa Malaysia website regarding the name change made by the company. The findings of this study indicate that corporate name changes have no impact on shareholder wealth. Investors in Malaysia are generally selective in accepting news on the corporate name change. It seems like only those perceived to benefit them in the future are accepted enthusiastically.
format	Thesis
qualification_name	other
qualification_level	Master's degree
author	Lavenyaa, Tharmamurthy
author_facet	Lavenyaa, Tharmamurthy
author_sort	Lavenyaa, Tharmamurthy
title	Malaysia stock price reaction to company's name change: analysis and evidence
title_short	Malaysia stock price reaction to company's name change: analysis and evidence
title_full	Malaysia stock price reaction to company's name change: analysis and evidence
title_fullStr	Malaysia stock price reaction to company's name change: analysis and evidence
title_full_unstemmed	Malaysia stock price reaction to company's name change: analysis and evidence
title_sort	malaysia stock price reaction to company's name change: analysis and evidence
granting_institution	Universiti Utara Malaysia
granting_department	School of Economics, Finance & Banking
publishDate	2021
url	https://etd.uum.edu.my/10397/1/depositpemission_s826678.pdf https://etd.uum.edu.my/10397/2/s826678_01.pdf
_version_	1776103807918276608

Malaysia stock price reaction to company's name change: analysis and evidence

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