Blue Inc has abandoned plans for a stock market flotation, electing instead for a private sale.
The fashion retailer had been mooting an initial public offering (IPO) and in May appointed Cantor Fitzgerald to advise it through the process, but a source close to the situation said it had chosen to sell to private investors, according to Drapers sister title Retail Week.
It is understood the decision was made following a spate of disappointing IPOs in the sector.
An announcement had been expected tomorrow on the offer price, with analysts predicting the retailer would be valued at around £60m.
The retailer joins a number of high-profile companies to lose heart after announcing their intentions to float.
Earlier this week M and M Direct announced it had opted for a private sale despite making preparations to list on the market, and in May Fat Face also abandoned an IPO.