Abstract
By using an expanded sample of German IPOs listed between 1992 and 2012 covering two major amendments on the financial market, IFRS adoption and the recent financial crisis. Their results indicate that IFRS adoption has reduced underpricing in Germany and has significantly affected their long-term performance. This clearly suggests the advantages of preparing IFRS accounts which might be an incentive for private companies to use IFRS voluntarily. Similarly firms that have gone public during the recent financial crisis offered significantly less initial returns to their aftermarket investors.