German cable operator Tele Columbus will stick to its plan to float shares on the Frankfurt stock exchange even after two recent initial public offerings proved disappointing last week, its finance chief said.
"Our path leads clearly to the stock exchange. To be more specific: We have not been approached recently and at the moment we are not in talks about a potential sale of the company," Frank Posnanski told Reuters in an interview.
Tele Columbus, which is owned by several hedge funds and credit funds following a financial restructuring, said last month it would sell new and existing shares in the IPO and was aiming for Frankfurt's Prime Standard market.
It plans to raise at least 300 million euros ($379 million) in a listing before the end of this year. Germany's third largest cable operator after Liberty Global's Unitymedia Kabel BW and Vodafone's Kabel Deutschland said it planned to go through with the listing despite two lacklustre German market debuts last week.
Shares in e-commerce firm Zalando are down almost a third since their debut last week and Rocket Internet shares are trading down more than a fifth.
"The share price performance of Zalando and Rocket Internet doesn't change our plans. Our business model and the markets we operate in can't be compared with those of Zalando and Rocket Internet," said Posnanski.
A person close to the process said that investors would be scrutinising the IPO. "Of course, investors will take a closer look at valuation after the Rocket Internet and Zalando flops," the person, speaking on condition of anonymity, said. "They will likely want pricing to be somewhat more conservative."
Italian internet company Italiaonline said on Tuesday it had pulled its planned listing on the Milan bourse due to adverse conditions and high volatility on the markets.