Analysis on VC's Backgrounds' Impact on GEM's IPO

This paper studies VC's backgrounds' impact on China's GEM's IPO underpricing and post-IPO return.The results indicate: the participation of venture capital increases the IPO underpricing of venture companies,but background of VC does not affect underpricing very much;the participation of venture capital will also increase the post-IPO return of venture companies,and has different influence on post-IPO return of venture companies,independent VCs have positive significant influence on the post-IPO return of companies financed,but government-backed and enterprise-backed venture capital have no significant influence on post-IPO return of venture companies.Hence,the results of the study show that although differences among these three backgrounds of venture capital exist,they don't indicate their characters totally in GEM.