(Reuters) – Japanese railway and property conglomerate Seibu Holdings set its IPO price at 1,600 yen, the low end of a tentative range announced last week, according to a filing.
The price reflects weak demand for recent offerings as well as a general decline in Tokyo stocks, which are currently the worst performers in major developed markets.
U.S. private equity firm Cerberus, Seibu’s top shareholder, pulled out of the offering last week as Seibu slashed the tentative price to 1,600-1,800 yen per share from an initial estimate of 2,300 yen.
Cerberus found the new price unacceptable and opted to wait for a market recovery, sources familiar with the deal told Reuters.
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