London law firm Mishcon de Reya has said it is temporarily postponing its IPO due to “volatile” market conditions.
The delay comes as another blow to London’s stock market, following a series of disappointing IPOs over the previous year.
Mishcon de Reya’s senior leadership decided to put the firm’s IPO on hold, following conversations with investors about the state of the market, City AM understands.
The delay comes after partners at the firm voted overwhelming in favour of floating the firm on the stock market in September last year.
Conversations with the types of investors likely to be interested in Mischon’s IPO led the firm to believe that now is not the right time to float on the stock market.
The high-profile law firm’s decision to delay its IPO comes after the firm was fined a record £232,500 at the start of January, for breaching anti-money laundering regulations.
However, Mishcon is claiming that the decision – made by the firm’s senior leadership – is only a temporary postponement, and that the “rationale” for an IPO remains strong.
As such, Mishcon still plans to go ahead with its IPO at a later date, when market conditions are better, City A.M understands.
The decision to delay the IPO did not require a vote from partners.
Last week, file transfer company WeTransfer cancelled its IPO due to stock market volatility. In March, Deliveroo’s IPO was branded the worst IPO in London history.
As of today, only six British law firms have floated on the stock market. However, it was expected that Mishcon’s IPO could trigger a wave of listings amongst law firms.