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By Marja Novak
LJUBLJANA, Sept 14 The sale of Slovenia's
largest bank, state-owned NLB, has been postponed until 2017,
privatisation coordinator Slovenian Sovereign Holding (SDH) said
The initial public offering (IPO) had been expected to start
later this year.
"No decision on the start of the sale will be made before
the annual results of the bank are released," SDH said in a
statement prepared for Reuters. The bank typically reports its
full-year results in March.
SDH said the privatisation should still complete by the end
of 2017, in line with European Commission requirements following
its state rescue in 2013.
It did not give reasons for the delay, but in July it had
postponed investment road shows due to increased market turmoil
caused by Britain's vote to leave the European Union.
"Brexit is one of the factors that increase risks on the
markets, while there are other factors that could also raise
market volatility in the coming months, such as the U.S.
presidential election and the U.S. interest rate decision," said
Matej Simnic, a bank analyst at investment firm Alta Invest.
Slovenia might ask the Commission if it can postpone it
further if market volatility intensifies, he added.
NLB is the largest of about 30 companies whose sale is
expected to start this year or the next. The government plans to
keep a stake of 25 percent in NLB to have a say in business
(Reporting by Marja Novak; editing by Jason Neely and Louise