Syngenta Group, a leading seed and pesticide company, is reportedly retracting its application for a stock market debut in Shanghai. Sources close to the matter suggest an official announcement could be imminent. This decision would enable Syngenta to continue its business expansion and engage with investors privately.
The possibility of revisiting the initial public offering (IPO) remains open, contingent on future market conditions. Syngenta has yet to comment on these developments.
Initially filed in 2021, Syngenta's IPO in China's financial hub has faced multiple setbacks. The latest delay was announced in November, citing volatile market conditions, which pushed the IPO to potentially the end of 2024. This move was aimed at raising 65 billion yuan ($9 billion) and exploring alternative options to widen its shareholder base.
Amid these developments, Chinese equity markets have struggled, with the benchmark CSI 300 Index reaching a five-year low in early February. Syngenta, acquired by China National Chemical Corp. (ChemChina) in 2017 for $43 billion, plays a crucial role in China's agricultural sector with its genetically modified seeds. ChemChina has since merged into Sinochem Holdings Corp., further consolidating its market position.
