Coronavirus outbreak threatens some IPOs
Illustration: Aïda Amer/Axios
PT Softex, an Indonesian sanitary product maker backed by CVC Capital Partners, may postpone its local IPO because of coronavirus concerns, per Bloomberg. This comes just weeks after Atotech, a German chemicals group owned by The Carlyle Group, delayed its U.S. IPO for similar reasons.
Why it matters: The fear and supply chain challenges are real, as are the difficulties in setting up travel and meetings with prospective Chinese investors. PT Softex, which seeks to raise upwards of $400 million, also has the added challenge of a soft Jakarta stock market.
The bottom line: "Softex, which was set up in 1976, sells its products in more than 35 countries, including developing economies where clean feminine-hygiene products are often considered luxury," Bloomberg reports.