Pubs group Dixon Hospitality has ditched its initial public offering plans, after it received an approach from a domestic private equity firm late last week.
It has entered into discussions around a potential takeover.
Sources said Dixon's board, led by chief executive (and former Spotless Group boss) Bruce Dixon, decided on Monday afternoon that there was more value for shareholders in pursuing a sale to private equity than an ASX listing, Fairfax Media's Street Talk column reported.
The float was mooted at 13.8-times forecast 2018 financial year profit.
Dixon owns 50 leasehold venues, primarily in Sydney, Melbourne and Brisbane.
The Australian also reported the development, but with a different rationale.