MetLife says volatility challenges IPO path for retail unit

September 13, 2016 by KATHERINE CHIGLINSKY

MetLife Inc., the insurer seeking to exit a U.S. retail unit, said the risk of large equity market swings would be one reason to favor a spinoff, rather than an initial public offering.

“Had we planned this a year ago, and were scheduled for the first quarter this year, it would have been very tough to do an IPO,” Chief Financial Officer John Hele said Monday at a conference held by Barclays Plc. “But a spin can generally happen even if the IPO markets are a bit choppy.”

Investors shied away from initial share sales early this year, as the S&P 500 Index dropped more than 5 percent in January and extended declines in February.

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Originally Posted at LifeHealthPro on September 12, 2016 by KATHERINE CHIGLINSKY.