Olam expects delay in IPO of its food ingredients unit

Olam had also planned for a secondary listing of its food ingredients unit in Singapore in the first half of 2022

SINGAPORE: Singapore-based commodity trader Olam Group Ltd said on Thursday it does not expect the IPO of its food ingredients unit to take place as originally planned during the second quarter.

The company had announced plans in August for Olam Food Ingredients to pursue a primary listing in London, in an IPO that sources said could raise about 2 billion pounds. This would have made it one of the biggest London IPO in years.

Due to current market conditions as a result of the ongoing conflict in Ukraine, Olam said it does not expect the unit's IPO to take place during the second quarter. (https://bit.ly/3wvvd4W)

Globally, many companies have delayed debt and equity fundraising plans amid volatile markets since the Russia-Ukraine crisis as investors worry about the impact of soaring inflation, rising interest rates and weaker economic growth.

Olam had also planned for a secondary listing of its food ingredients unit in Singapore in the first half of 2022.- Reuters