ZURICH -- Industrial group OC Oerlikon became the third Swiss company this year to shelve a planned stock market listing when it halted the share offering for its drives unit on Monday.
Oerlikon blamed adverse stock market conditions for its decision to reverse the spinoff of the unit, to have been called GrazianoFairfield.
It had planned to float the business, which makes transmissions for sports cars including Lamborghini and Ferrari to focus on its main surfacing and textile machinery business.
But Oerlikon said volatility had increased after it began seeking interested buyers, resulting in an unfavorable situation.
This marks the third time this year that a company has ditched an already-announced IPO, following HNA Group units Swissport Group's and Gategroup's separate decisions to postpone share floats.
"We will further invest in our Surface Solutions and Manmade Fibers businesses, both organically and through targeted acquisitions and will revisit the listing of the Drive Systems Segment when market conditions are appropriate," CEO Roland Fischer said in a statement.
Trading had been planned to start on July 11.
The drive systems segment is Oerlikon's second-biggest after its surface solutions business, but its operating margins have been lower than those in Oerlikon's surface solutions business that the company sees as its future.
Despite the adverse conditions Oerlikon cited, numerous other companies have succeeded in floating shares this year, with the SIX Swiss Exchange last month saying there had been more listings through the first half of 2018 than in all of 2017.