Médiacité cancels IPO due to 'unfavourable' conditions

Belgian developer Wilhelm & Co has cancelled plans to list nearly EUR 200 mln worth of certificates backed by the 45,000-m² Médiacité shopping centre in Liège, citing 'unfavourable market conditions'.

'Given the underlying level of market volatility and the worsening of the stock market climate, Médiacité Shopping SA considers, in agreement with the placement syndicate and Wilhelm & Co SA, that the conditions to ensure a clear success for the offering are not met and has decided to withdraw the offer,' the company said in a statement.

All subscriptions will automatically be cancelled, it added.

This is the second cancellation of a European property IPO in just a few days. Last week, Germany's Prime Office shelved plans for an IPO in the face of 'volatile market conditions'.

Wilhelm & Co announced in early June that it planned to list real estate certificates on NYSE Euronext Brussels to acquire the Médiacité shopping centre in Liège. ING Belgium and Petercam were appointed as Joint Lead Managers, and Dexia was engaged as Co-Lead Manager to assist in the listing.

The initial public offering (IPO) was expected to comprise an offering to institutional investors in Belgium and the rest of the European Economic Area, as well as a public offering to retail investors in Belgium.