Kyobo Life Insurance Co. is unlikely to pursue its initial public offering (IPO) on the local bourse in the face of volatile market conditions, industry sources said Wednesday.
South Korea's second-largest life insurer has halted all preparation work required for a listing, as the company's financial status is sound enough to sustain its overall management without additional funding, according to industry sources.
Uncertain market moves stemming from a global economic slowdown and the eurozone debt crisis have forced the life insurer to shun its IPO as for now, a Kyobo Life spokesman said.
Market watchers said that Kyobo Life's decision to put off the IPO plan came after its local rivals, including No. 1 player Samsung Life Insurance Co., have been suffering from low stock prices since their market debut.
Due to such a jittery market, other smaller rivals, including Dongbu Life Insurance Co., are more inclined to seek an IPO next year.
Hyundai Life Insurance Co., formerly known as Green Cross Insurance Co. before it was acquired by South Korea's Hyundai Motor Group, will need at least another year or more to be ready for a listing, the sources said. (Yonhap)