TOKYO, March 7 (Reuters) – Japan’s SBI Sumishin Net Bank Ltd (7163.T) is set to postpone a planned $1.2 billion initial public offering (IPO) scheduled for this month due to the war-torn in The Ukraine-triggered market downturn is planned, a person with knowledge of the matter said Monday.
SBI Sumishin Net Bank, which is equally owned by SBI Holdings Inc (8473.T) and Sumitomo Mitsui Trust Bank (8309.T), would have been the first online bank to go public in Japan would.
It is the latest example of an IPO being shelved in markets around the world as investors from Hong Kong to Zurich grew concerned following events in Ukraine. Continue reading
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The total volume of the transaction was estimated at around 132 billion yen (1.2 billion US dollars), with SBI Sumishin raising around 10 billion yen, according to documents. The bulk of the sale was expected to come from SBI Holdings and Sumitomo Mitsui Trust Bank selling shares.
The IPO was scheduled for March 24th.
SBI Sumishin will announce the postponement as early as Monday, the source said, declining to be identified because the decision is not public.
The bank declined to comment on the postponement, which was first reported by the Nikkei Business Daily on Sunday.
Japan’s TOPIX index (.TOPX), the broadest measure of Tokyo stock performance, is down about 10% since the start of the year, reflecting widespread uncertainty that has gripped global markets in the wake of the Russian invasion of Ukraine has met.
Russia describes its intervention as a special operation.
In a recent regional example, the IPO of state-owned Indian Life Insurance Corp (LIC) is set to be delayed until next fiscal year due to Ukraine-related volatility, Bloomberg News reported, citing sources. Continue reading
Shares of SBI Holdings fell 4.6% by late morning in Tokyo, while Sumitomo Mitsui Trust Bank was down 2.5%. The TOPIX index lost 3.2%.
($1 = 114.8400 yen)
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Reporting by Miho Uranaka Editing by Chang-Ran Kim, David Dolan & Shri Navaratnam
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