Car-leasing group Leaseplan has blamed “market conditions” after becoming the latest company to pull the plug on its planned IPO.
It was only last week that the private equity-backed company unveiled plans to float on the Euronext stock exchange in Amsterdam, calling it the “logical next step”.
But the sudden downturn in global stock markets, coupled with poor starts for two of Europe’s most recent IPOs, Aston Martin Lagonda Global Holdings PLC (LON:AML) and Funding Circle PLC has dampened enthusiasm for new listings.
Luxury carmaker Aston is down at 1,556p, almost 20% below its IPO price of 1,900p a share, while Funding Circle, a peer-to-peer lender, has slumped 15% from its listing price.
Bankers had warned that the slow starts for those two high-profile flotations would have a dampening effect on other listings.
On Thursday, litigation financing firm Vannin Capital scrapped its plans to list on the London Stock Exchange, with chief executive Richard Hextall saying the postponement was down to the “volatility” in equity markets at the moment.
Leaseplan, which was sold by Volkswagen to a consortium led by TDR and Dutch pension fund PGGM in 2015 for around £3bn, has left the door open for a float further down the line though.