The Croatian food retailer Studenac has decided to cancel its plans for an initial public offering (IPO) on the Warsaw and Zagreb stock exchanges due to concerns about the state of capital markets, the company said in a press release on Wednesday.
Expected to debut on December 10, the company planned to raise around €80 million from newly issued shares during the offering, a sum it intended to use to fuel its growth and expand into European markets beyond Croatia and Slovenia, where it currently operates. The company also planned to sell existing shares, bringing the potential maximum value of the offer to around €184 million.
“During our numerous meetings and discussions with Croatian, Polish and international investors, they have shown genuine interest in Studenac business model. However, due to the challenging conditions in capital markets, we—together with our majority shareholder—have decided not to proceed with the IPO of the company’s shares,” said Studenac’s CEO, Michał Seńczuk.
The news came after the disappointing debut last month of the popular convenience store chain Żabka. The chain, whose initial offer was valued at €1.5 billion, saw its share price fall not long after its debut; the result failed to bring about a revival in the Warsaw stock market and the mood among investors and businesses soured.
“It is possible that, in the future, when market conditions are more favorable, we will revisit plans for an initial public offering and the listing of Studenac shares on the stock exchange,” Seńczuk added.
Private investors who signed up for Studenac’s shares during the book-building process will receive their money back within the next seven days.
“During our numerous meetings and discussions with Croatian, Polish and international investors, they have shown genuine interest in Studenac business model. However, due to the challenging conditions in capital markets, we—together with our majority shareholder—have decided not to proceed with the IPO of the company’s shares,” said Studenac’s CEO, Michał Seńczuk.
The news came after the disappointing debut last month of the popular convenience store chain Żabka. The chain, whose initial offer was valued at €1.5 billion, saw its share price fall not long after its debut; the result failed to bring about a revival in the Warsaw stock market and the mood among investors and businesses soured.
“It is possible that, in the future, when market conditions are more favorable, we will revisit plans for an initial public offering and the listing of Studenac shares on the stock exchange,” Seńczuk added.
Private investors who signed up for Studenac’s shares during the book-building process will receive their money back within the next seven days.
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