Ocado delays IPO and cuts price range

Online grocer Ocado has been forced to cut its IPO price range after failing to place shares at the bottom of its 200p to 275p original offer price.

It has dropped the price range to between 180p and 200p, with the mid-point of the new range 20% lower than Ocado had hoped for. Ocado had faced criticism from a number of investors over the IPO pricing, especially considering the grocer has yet to turn a profit. Schroders head of UK equities was one vocal critic, saying the original offer price was excessive. "This is only for investors who wish to create capital gains tax losses," the £1.93bn Schroder UK Alpha Plus fund manager told the FT. "We might be more interested at a valuation of between £500m and £600m, but we remain v...