Italian jeweller plans an IPO

Pomellato, the Italian jeweller whose trinkets have been worn by actress Tilda Swinton, had intended to sell shares in an initial public offering as soon as next year to fund expansion. After Italy’s election at the weekend produced a hung parliament, that plan is on hold.

“It forces us to look into alternative courses of action, you have to look at other sources of capital,” chief executive Andrea Morante said yesterday. “There was wishful thinking that these elections could bring about stability in the political outlook; that wishful thinking has been proven wrong.”

Fiat may be among the companies hardest hit by the political turmoil. Italy’s largest manufacturer will pay higher interest rates on its debt and may battle a further sales contraction in Italy, where it gets half its European sales. – Bloomberg