Deals
Lotte Signals $4.5 Billion Hotel IPO Is Shelved Amid Crisis
- Group says it will be difficult to meet next month’s deadline
- Shares of Lotte units fall, losing 1.2 trillion won in value
Hotel Lotte May Shelve $4.5B IPO
This article is for subscribers only.
Lotte Group indicated it will shelve what may have been a $4.5 billion initial public offering, the world’s biggest so far this year, for its hotel unit after widening investigations pushed the South Korean conglomerate deeper into crisis.
It’s going to be "physically difficult" for Hotel Lotte Co. to meet next month’s deadline to complete the IPO in light of the extra steps it would need to take such as making additional disclosures, the parent group said in an e-mailed statement in Seoul on Sunday. Lotte will cooperate with authorities in their investigation, it said.