Mongolia cancels $3 billion coal IPO

In a blow both to the country and its capital markets, the Mongolian government has once again scrapped its up to $3 billion initial public offering plans in Hong Kong for the central Asian republic's flagship coal mining company Erdenes Tavan Tolgoi.

A 30% sale of the shares of the state-owned company has been expected since at least 2012 and this is the country’s third attempt to raise money for Erdenes Tavan Tolgoi to have failed.

A previous IPO plan in 2012 was pulled after the government changed its plans for the mine and, three years later, a stake sale to a Chinese-Japanese consortium also fell...