NEW YORK (Reuters) – Boutique investment bank Imperial Capital Group Inc postponed its initial public offering, an underwriter said, citing market conditions.
The Los Angeles-based company had hoped to raise about $107 million in a deal that had already been downsized.
The bank, which offers sales, trading and advisory services, had hoped to sell 6.7 million shares for between $15 and $17 each.
Imperial Capital more than doubled profits in the first nine months of 2009 to $13.9 million, but said in its prospectus that most of its investment banking engagements are single deals and not ongoing relationships.
It planned to use net proceeds from the IPO to buy partnership units from ICGI Holdings, for additional capital, to repay revolving credit, and for general corporate purposes, according to a regulatory filing with the U.S. Securities and Exchange Commission.
The IPO was being led by Bank of America Merrill Lynch, JMP Securities, and Imperial Capital. (Reporting by Clare Baldwin in New York; additional reporting by Elinor Comlay, editing by Dave Zimmerman)