IMPACT OF INTERNAL GOVERNANCE MECHANISMS ON THE IPO LONG TERM PERFORMANCE

Our work provides an analysis of the role of internal mechanisms of governance in

explaining the long run performance after IPO. Our study examined a sample of 85 IPO

French companies, between 2005-2008. Our results show that the governance structure

before the IPO does not affect very significantly the performance of IPOs French companies.

Thus, we found the neutrality of the relationship between board independence and long-term

performance. Our work contributes to develop these reports given the paucity of studies that

led to find relationships between the mechanisms of governance and stock market

performance during the years following the IPO.