Stock Markets February 20, 2026

Companies Pull Back on 2026 U.S. IPOs as Volatility and Valuation Pressure Rise

Deal sizes cut, listings delayed or shelved as issuers await calmer conditions amid investor scrutiny

By Marcus Reed AGBK
Companies Pull Back on 2026 U.S. IPOs as Volatility and Valuation Pressure Rise
AGBK

Several firms planning U.S. initial public offerings in 2026 have reduced deal sizes, postponed launches or withdrawn listings as market swings and intensified valuation scrutiny weigh on the pipeline. Notable cases include Clear Street, Agibank and Liftoff Mobile. Analysts see higher IPO volume this year but warn that recent selloffs, particularly in software, have highlighted valuation risks.

Key Points

  • Several 2026 U.S. IPOs have been downsized, postponed or withdrawn amid market volatility and valuation scrutiny.
  • Notable issuers affected include Clear Street (pulled its IPO after a delay and a 65% cut to its fundraising target), Agibank (completed a sharply reduced IPO raising $240 million), and Liftoff Mobile (confidentially filed after earlier withdrawing plans).
  • Sectors most visibly impacted include fintech and technology-related listings, with broader implications for issuers and investment banks working on IPO pipelines.

Feb 20 - A number of companies that had planned U.S. initial public offerings in 2026 have scaled back, delayed or canceled their listings as market turbulence and close investor attention on valuations have put pressure on new issue activity.

Goldman Sachs analysts said earlier this month they expect the number of IPOs to double to 120 this year, but added that a selloff in software stocks has underscored valuation risks. Despite that forecast, several issuers have reacted to short-term market swings by adjusting their plans.

In recent weeks, issuers including Wall Street broker Clear Street, Brazilian fintech Agibank and Blackstone-backed Liftoff Mobile have trimmed deal sizes, withdrawn or pushed back planned listings. Those companies said they will wait for market volatility to cool amid heightened investor scrutiny of aggressive pricing and lofty valuations.


CLEAR STREET

Clear Street pulled its U.S. IPO a week after delaying the offering, becoming one of the early 2026 listings to be scrapped amid market instability. The company had earlier postponed the deal just hours after cutting its fundraising target by about 65% and cited "current market conditions" in explaining its decision to abandon the offering.


AGIBANK

Brazilian fintech Agibank followed a different route, completing a downsized U.S. IPO that raised $240 million after sharply reducing both the proposed deal size and the price range. The Sao Paulo-based company sold 20 million shares at $12 apiece; it had previously proposed roughly 43.6 million shares priced between $15 and $18 each.

The stock, which debuted on Wednesday, had fallen nearly 15% from the offer price as of Thursday's close.


LIFTOFF MOBILE

Blackstone-backed Liftoff Mobile, a mobile app marketing provider, confirmed earlier this week that it has confidentially filed for an initial public offering. That filing follows a prior decision to withdraw its U.S. listing plans.


Collectively, these moves illustrate how companies are responding to an uneven market backdrop by pausing or scaling back deals rather than proceeding at prices they consider aggressive. Issuers and underwriters appear to be calibrating launches to investor demand and wider sentiment, particularly in sectors where recent price action has raised questions about valuation.

Risks

  • Ongoing market volatility may continue to cause issuers to delay or cancel planned IPOs, affecting deal flow in investment banking and capital markets.
  • Heightened investor scrutiny of valuations, especially after selloffs in software stocks, could force further reductions in deal size or pricing across technology and fintech listings.
  • Weak peer performance can undermine demand for new issues, increasing the likelihood that companies postpone offerings until conditions stabilize.

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