Secondly, research about share repurchases in Thailand remains
underexplored although listed firms in Thailand have been allowed
to buy back their own shares since July 2001. Only a few studies seem
to focus on such issue. Vithessonthi (2007) was the first to document
the positive abnormal stock returns associated with open market
share repurchase announcements in Thailand. Vithessonthi (2008)
subsequently finds some evidence of the long-run abnormal returns
but no significant change in the operating performance following stock
repurchase announcements. Surveying executives of 64 repurchasing
firms in Thailand from July 2001 to December 2009, Tabtieng (2013)
reports that the main objectives of managers for implementing open
market share repurchase programmes are to buy back undervalued
shares and to increase earnings per share.
Thirdly, compared to most developing countries, Thailand has a
better disclosure environment of share repurchases. This makes it a very
suitable setting for researchers to investigate the effect of actual share
repurchases on liquidity with higher precision. Prior studies examining
liquidity impact of open market share repurchases in developed
countries, especially the U.S., have been hindered by data disclosure
Secondly, research about share repurchases in Thailand remainsunderexplored although listed firms in Thailand have been allowedto buy back their own shares since July 2001. Only a few studies seemto focus on such issue. Vithessonthi (2007) was the first to documentthe positive abnormal stock returns associated with open marketshare repurchase announcements in Thailand. Vithessonthi (2008)subsequently finds some evidence of the long-run abnormal returnsbut no significant change in the operating performance following stockrepurchase announcements. Surveying executives of 64 repurchasingfirms in Thailand from July 2001 to December 2009, Tabtieng (2013)reports that the main objectives of managers for implementing openmarket share repurchase programmes are to buy back undervaluedshares and to increase earnings per share.Thirdly, compared to most developing countries, Thailand has abetter disclosure environment of share repurchases. This makes it a verysuitable setting for researchers to investigate the effect of actual sharerepurchases on liquidity with higher precision. Prior studies examiningliquidity impact of open market share repurchases in developedcountries, especially the U.S., have been hindered by data disclosure
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