DOF Subsea Shelves IPO Plans

Norway's DOF Subsea has decided to hold off on launching its initial public offering (IPO), citing volatile market conditions.

Company shareholders DOF ASA, with 51 percent, and a fund managed by First Reserve, with 49 percent ownership, announced in May that they were considering an opportunity for the company to apply for a listing on Oslo Stock Exchange.

The shareholders have now decided to shelve these plans, instead opting to wait for market conditions to improve.

“Since the review started, the general market sentiment for the oil service sector has been volatile, and oil price as well as pricing of oil services stocks has dropped significantly,” the company said in a press release.

“Despite receiving solid support for the DOF Subsea business case, the shareholders have concluded to await an improvement in stock market conditions before initiating an IPO.”

The company was listed previously on the Oslo Stock Exchange from November 2005 until December 2008, when DOF ASA and First Reserve took the company private.