MARKETS IN TRANSITION: UNDERSTAND THE DELISTING PHENOMENON BY CONDUCTING AN ANALYSIS OF THE DETERMINANTS IN THE ITALIAN MARKET

Abstract

The final master paper focuses on the study of delisting, referring in particular to delisting in Italy and, more generally, to other international evidence. Considering the heterogeneity in transactions and what is defined as delisting, we first considered the standard types of delisting, divided according to who initiates the procedure (the stock exchange or the company itself). We also examined the reasons and laws behind delisting, when the company violates the requirements stipulated by the exchange and legislation, when a company requests to be delisted, and how the legislation implements measures to safeguard the market and investors. After that, we went through a theoretical analysis of the various financial and non-financial variables that can have particular effects on companies, leading them toward delisting. This analysis served as the theoretical foundation for the subsequent analysis, which puts this theory into practice to help investors and companies predict future delisting from these variables. This study is based initially on a simple comparative approach and then on a logit model that allows us to more accurately define each variable's impact on the final event of being delisted.