(Bloomberg) -- Oldenburgische Landesbank AG, the private equity-backed German lender, has paused work on a planned initial public offering that was expected to take place as early as in May, people with knowledge of the matter said.

The decision to put the planned German listing on hold comes amid investors’ concerns over the health of the global banking system, the people said, asking not to be identified discussing confidential information.

Events in the aftermath of the collapse of Silicon Valley Bank and UBS Group AG’s deal for Credit Suisse Group AG have sparked a rush from risk that has made IPOs more difficult to pull off.

Just about $2 billion has been raised via new listings on European exchanges so far this year, a near 50% drop from the same period last year, according to data compiled by Bloomberg. While a handful of issuers are plotting listings, most are sitting on the sidelines. 

OLB, which is backed by private equity firm Apollo Global Management Inc., earlier this year added a large roster of banks to its IPO line-up in anticipation of the first-half listing that was expected to value the bank at well over €1 billion ($1.1 billion). 

The lender remains keen to pursue a listing and is ready to move ahead when market conditions improve, though the final decision will be up to its shareholders, one of the people said.

A representative for OLB declined to comment. A representative for Apollo didn’t immediately respond to requests for comment. 

Read more: Apollo-Backed Lender OLB Said to Add More Banks to IPO Roster

Based in Oldenburg, Germany, OLB was created through the combination of several smaller German lenders, including some previously owned by Italian bank UniCredit SpA and German insurer Allianz SE. Its other backers include Teacher Retirement System of Texas and UK-based Grovepoint Investment Management LLP.

(Adds detail on OLB plans in sixth paragraph.)

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