Black Monday 2015: Biotech firm RainDance Technologies cancels IPO following global sell-off
US biotech firm RainDance Technologies has pulled out of plans to publicly list on Nasdaq.
In a regulatory filing released today, the Massachusetts-based company cited the fall in global markets as the reason for its decision.
The company has determined at this time not to proceed with the offering due to market conditions.
There has been a sell-off across all major stock exchanges today, stirred by a 8.5 per cent fall on the Shanghai Composite Index early this morning.
In the US, the Dow Jones Industrial Average fell 3.7 per cent at the start of trading, while the S&P 500 and Nasdaq went down by 3.9 per cent and 3.6 per cent, respectively.
RainDance, which specialises in developing medical devices for genetic testing, revealed in March that it was working towards a $60m (£38m) IPO later in the year, although it hadn't specified a date. Bank of America Merrill Lynch, Cowen & Co. and Evercore Partners were appointed lead underwriters.
The company offered no exact details on how the funds raised would be used, but confirmed its intention to invest more in genetic sequencing products.
Last year, RainDance's revenue went up from $17.2m to $30.6m, while its net loss decreased by 79 per cent from $14.3m to $8.8m.
Although RainDance has scrapped plans to go public for the time-being, it may still pursue a subsequent private offering.