IPOView – Companies Push Back IPOs over US Debt Limit Uncertainty | White & Case LLP International Law Firm, Global Law Practice
IPOView – Companies Push Back IPOs over US Debt Limit Uncertainty

IPOView – Companies Push Back IPOs over US Debt Limit Uncertainty

In the aftermath of the US government shutdown, companies are reluctant to move forward with IPOs and follow-on offerings due to the looming possibility of a US debt default and credit downgrade.

Given the market volatility, companies choosing to advance their deals are likely to include material adverse change clauses to hedge against unforeseen risks to buyers and sellers. "It is being discussed in probably every deal that’s out there right now," said Oliver Brahmst, a partner at White & Case.