German solar group postpones share sale indefinitely

FRANKFURT (Reuters) - German solar group Schott Solar, which planned to announce the price range for its share sale on Sunday, postponed the initial public offering indefinitely due to the current market volatility.

The solar technology company said on Sunday that meetings with potential international investors had been “successful” but that it does not plan to announce a price range because of “the current high volatilities in international capital markets.”

The company would announce further details of the share sale should the market environment improve, if necessary “at short notice,” it said.

Several investors had said last week that they would demand a higher-than-usual discount on the shares the company planned to sell compared to established peers such as Q-Cells and SolarWorld due to the uncertainty in capital markets.

Schott Solar is a unit of technology company Schott and had planned to raise 477 million euros ($691.9 million) in net proceeds through the initial public offering. That sum would have made the sale the biggest in Deutsche Boerse’s prime standard segment so far this year.

Schott Solar had planned to join Q-Cells and SolarWorld on Germany’s TecDAX technology index.

Reporting by Peter Dinkloh; Editing by Gary Hill