The IPO market is looking grimmer by the day.
Energy company AEI cancelled its initial public offering due to price expectations. The deal was called off last night after the market closed with AEI citing “market conditions” as the catalyst:
SFGate: AEI, a former Enron entity with energy-infrastructure operations in 19 developing countries, had expected shares to price between $14 and $16 per share. The company was offering 16.7 million shares. Its largest shareholder, Ashmore Funds, planned to sell 33.3 million.
Thursday, AEI lowered its expected price range to $12 to $13 per share. It raised its offering to 20 million shares, while Ashmore Funds cut its offering to just 1 million shares.
But even that price was too much. Now the entire thing is off.