By: ABP News Bureau | Updated at : 27 Jan 2022 04:12 PM (IST)
Before cancelling the IPO, WeRock, the parent firm, had also slightly scaled back ambitions for the valuation of a part of it. Image: Getty
New Delhi: WeTransfer has cancelled its initial public offering (IPO) claiming volatile market conditions, the company said in an announcement on Thursday.
WeRock, best known for the WeTransfer file transfer service, had planned to launch an IPO on January 28 on Amsterdam’s Euronext that would have valued the firm between 629 million and 716 million euros ($714 million-813 million), according to a report in Reuters.
The company in a statement said that it had made the decision to cancel the listing “despite substantial investor interest”. It will continue “pursuing our strategy and continuing our growth trajectory,” Chief Executive Gordon Willoughby said, adding that while we have decided not to proceed with our public listing due to volatile market conditions, our commitment to address the needs of our global community of 87 million monthly active users remains as strong as ever.”
Before cancelling the public listing, which was to have included both a primary and secondary share offer, WeRock had also slightly scaled back ambitions for the valuation of a part of it.
The IPO market closely reflects investors’ appetite for risk and they tend to become more reluctant to commit large chunks of cash to a single company if the broader economic environment is showing signs of strain.
Global stock markets have had a bumpy start to the year, with the EuroStoxx 600 technology index down 6 per cent since the firm announced its intention to float on January 12.
WeRock posted adjusted earnings before interest, taxes, depreciation and amortization (Ebitda) of 21.3 million euros on revenue of 72 million euros for the first nine months of 2021, and is targeting annual revenue growth above 20 per cent in the medium term.
Business News Highlights: Stock Market Closes, Sensex Settles 655 Points Up; Nifty Above 22,300
Business News Highlights: Stock Market Closes, Sensex Settles 526 Points Up, Nifty Above 22,120
Business News Highlights: Stock Market Closes, Sensex Settles Over 350 Points Lower, Nifty At 22,005
Business News Highlights: Stock Markets Mark Holi Leave, Investors To Clock Macro Data Ahead
Business News Highlights: Investors To Clock Economic Data, Fund Flows, GDP Figures For US
Mukhtar Ansari Dies: Know All About The Don Who Once Ruled Purvanchal And His Downfall Under Yogi Regime
Kejriwal To Stay Delhi CM From Jail As High Court Finds 'No Legal Bar,' Ball In LG's Court Now
PM Modi Calls Congress A 'Bully' After Lawyers Write To CJI. Here's What He Said
Roof Collapses During Renovation Work At Chennai Bar, 3 Dead