Consol pulls JSE listing, citing tough market conditions

Glass packaging manufacturer Consol Holdings Limited announced on Wednesday that it was pulling its proposed relisting on the Johannesburg Stock Exchange. 

The glass giant had hoped to list on the JSE on May 4. It was set to release the results of its initial share offer on April 30. In its pre-listing statement, it said it was hoping the private placement of 761 million ordinary shares would raise R3.5bn. 

"In light of challenging market conditions, the board of directors and shareholders of Consol have resolved that the prevailing environment is not conducive to the offer achieving their valuation objectives and that it would not be in the best interests of the company to proceed with the Offer at the current time," it said in a note to investors. 

Consul did not say whether it would again consider listing on the local bourse if market conditions improved. 

The company delisted in 2007 when it was taken private by a consortium of private equity investors, led by Brait Private Equity and including Old Mutual Private Equity, Sanlam Private Equity, HarbourVest Partners and the management of Consol.