BATS Global Markets Cancels Own IPO After Pricing

BATS Global Markets Cancels Own IPO After Pricing

Blog The Road to IPO: Legal and Regulatory Insights into Going Public

BATS Global Markets has withdrawn its own IPO one day after pricing, due to technical issues that resulted in trading errors in the shares of various companies and in its own stock—ironically, on the computerized stock exchange it operates.

This is a rare occurrence. Out of thousands of firm-commitment IPOs in the past quarter-century, only a handful have failed to close after pricing. Perhaps the most famous—and tragic—canceled IPO in history was that of Eagle Computer, an early PC-clone maker. In 1983, the company's CEO died when his new Ferrari crashed through a guardrail at high speed and plunged into a ravine after a celebratory lunch on the IPO's first trading day. The IPO was rescinded and all trades were canceled. After a new CEO was appointed and the prospectus amended, the IPO was completed a week later for $1.00 per share less.


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