DNEG special effects firm cites Brexit and election as it halts £660m stock market flotation

Near future: Blade Runner 2049 is only as far from our own society as today's smartphone is from the first hand-held mobiles: Warner Bros. Pictures via AP

DNEG, the special effects group behind Chernobyl and other TV and Hollywood blockbusters, today froze plans for a £660 million London float due to investor jitters about Brexit and the election.

Chief executive Namit Malhotra said: “It just felt like we were pushing against the tide, so we’ll come back when the market is more enthusiastic.”

He said there had been some interest among investors but nervousness about investing in the UK had made some reluctant.

He said he did not regret opting for London over New York for the float despite the UK political and economic troubles: “We had that debate but London is the world hub of production. People here understand our business and our industry the best."

JPMorgan is DNEG's adviser.

Reuters data showed that this brings to 10 the number of IPOs that have been pulled across Europe in the past year. They total a raising of £1.8 billion.

DNEG, which won the Evening Standard Media Company of the Year award this summer, had hoped to raise £150 million to accelerate its growth.

The company produces digital SFX for movies from the Harry Potter films to the Avengers franchise.

It has been nominated for eight Oscars for visual effects and won five: Inception, Interstellar, Ex Machina, Blade Runner 2049 and First Man.