The news comes at an interesting time for buyout investors in Europe looking to exit. While there were some successful listings of PE-backed companies over the summer (albeit not in countries you might expect), a number of planned portfolio company IPOs were cancelled or postponed this year. Indeed, just last week, the Baupost-backed ready meals business Bakkavor pulled the plug on an IPO which could have reportedly valued the business at around £1.5 billion. And, according to the PitchBook Platform, three of the five largest failed or cancelled PE-backed floats in the world this year are European.
With this in mind, here's a closer look at the continent's biggest failed PE-backed floats so far this year:
Arqiva (£1.5 billion—UK)The TV and mobile mast operator announced plans to float a portion of the company for £1.5 billion in October. The share sale could have valued the business, which counts the Canada Pension Plan Investment Board and Macquarie among its investors, at as much as £6 billion.
Two weeks later, however, the company said that it intends to postpone its IPO until market conditions in the UK improve.
Lecta (€315 million—Spain)The fine-paper manufacturer, also backed by CVC, had planned to raise €315 million by floating in Spain over the summer. The IPO was then shelved after the book-building process reportedly failed to attract much interest, even after the price range for the shares had been narrowed.
TMF (£300 million—UK)The DH Private Equity Partners-backed professional services company announced in October its intention to raise £300 million from a share listing in London that would have seen it achieve a valuation reportedly north of £1 billion.
A few days later, however, DH agreed to sell the company, which is based in Amsterdam, to CVC for €1.75 billion.
PitchBook subscribers can check out the full list of failed or postponed PE-backed IPOs this year.