GIC-backed clinical trial firm WCG withdraws US IPO plans

BENGALURU (REUTERS) - WCG Clinical, a clinical trial solutions company backed by Singapore's sovereign wealth fund GIC, on Wednesday (Oct 13) filed to withdraw its initial public offering (IPO), joining a list of companies that pulled the plug on their offerings in recent weeks.

The company did not give a reason for the withdrawal in its paperwork with the US securities regulator, but adverse market conditions have forced exercise equipment maker iFIT Health & Fitness, AEON Biopharma and others to abandon their IPO plans recently.

Inflation concerns and worries surrounding cash-strapped property developer China Evergrande Group have spooked investors and fueled wild gyrations in global equities in recent weeks.

On Wednesday, data from the Labor Department showed US consumer prices increased solidly in September and are set to rise further in the coming months.

However, despite some hiccups, the market for IPOs remains robust, with a slew of high profile companies like Amazon.com-backed electric vehicle maker Rivian and chipmaker GlobalFoundries lined up for stock market listings by the end of the year.

In a filing with the US Securities and Exchange Commission in July, WCG Clinical had said it would target a valuation of up to US$6.45 billion (S$8.72 billion) in its share offering.

Buyout firm Leonard Green & Partners is also an investor in the Princeton, New Jersey-based company.