China Postal Express and Logistics Co Ltd (EMS) has withdrawn its application for an initial public offering (IPO), according to the company's announcement on Friday. EMS is the biggest integrated express and logistics firm in China by geographical coverage, wrote ECNS.
In a statement released on Friday, EMS said the IPO withdrawal was done to enhance the company's competitiveness amid the volatile market of express delivery. EMS has decided to polish the structure of its parent and subsidiaries and achieve a more effective headquarters and management model, the report detailed.
In addition, the company said in the statement that the restructuring might affect the IPO process of EMS, the report stated.
EMS was founded in June 2010. In August 2011, the company had filed an application for an IPO. In May 2012, the China Securities Regulatory Commission gave its approval for the said application. However, the firm did not get listed after approval because of the sluggish equity market that year, the report explained.
The express delivery firm said it might try to tap into the capital market after completing the restructuring, ECNS reported.
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