(Bloomberg) -- South Korean security services company SK shieldus Co. withdrew the prospectus for an initial public offering in Seoul as market volatility damps investor demand for new shares worldwide.
The company said in a filing that it had difficulty obtaining proper valuation. Initial terms of the deal last month indicated the company and shareholders were aiming to raise as much as 1.05 trillion won ($825 million) by selling the stock at a range of 31,000 won to 38,800 won each. Seoul Economic Daily reported this week that institutional investors had offered to subscribe to the shares at a 25,000-28,000 won range.
The offering was expected to be the largest in South Korea since LG Energy Solution in January raised $10.8 billion in the world’s biggest IPO this year. Since then, most listings in Seoul have raised less than $100 million as appetite for new share sales globally waned amid prospects of rising interest rates and a spike in volatility due to the war in Ukraine.
SK shieldus, a unit of Seoul-listed SK Square (NYSE:SQ) Co., offers services and products ranging from cybersecurity to apparel for video surveillance and safety escorting services by professional personnel, according to its website.
Earlier this year, Hyundai Engineering & Construction Co., a construction unit of Hyundai Motor Group, also decided to withdraw an IPO expected to raise as much as 1.2 trillion won due to difficulty getting proper valuation.
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