French software company Planisware cancelled its €241.4m IPO on Wednesday shortly after closing books on the offer, making it the second consecutive float in Europe to fail in a week.
A week ago German defence supplier Renk pulled its IPO having also closed books and given indicative pricing.
Books for Planisware's IPO closed at 12pm in London on Wednesday following guidance that the offer would come at €16 per share. On Tuesday investors were guided to the bottom end of the range with an indicated €16–€16.50 from initial guidance of €16–€18. Books were said to be oversubscribed at €16.50 on Tuesday and coverage was reiterated on Wednesday.
Shares were due to list on Thursday.
Renk also had early coverage, guiding investors towards the bottom of the range and then low-end pricing, each time saying books were oversubscribed. On Tuesday, bankers away from the Planisware deal expressed concern that the French deal was following the same path as Renk to potential cancellation.
Planisware's IPO involved no new funds for the company, with the founders and private equity firm Ardian providing all the 15.09m shares in the base deal and 15% greenshoe.
BNP Paribas and Citigroup were joint global coordinators, and joint bookrunners with Bank of America and Berenberg. Rothschild advised.