Egana International (Holdings) has postponed the spin-off of its jewellery division due to the recent stock market slump. Egana International last week announced that it proposed to list its jewellery operation, Egana Jewellery & Pearls, on the Hong Kong Stock Exchange. Under the proposal, Egana would issue 171 million new shares in Egana Jewellery in a move expected to raise $140 million. The funds raised were to have been used to expand its business in the United States and Europe. Egana chairman and chief executive Hans-Joerg Seeberger said the postponement was to protect shareholder interests. 'Due to the recent adverse stock market conditions, the issue price of the proposed listing will definitely be affected and would not properly reflect the fundamentals of Egana Jewellery,' Mr Seeberger said. 'This will not be to the best benefit of the company and its shareholders.' He said the company and its jewellery division had sufficient financial and cash resources and thus would not be affected by the postponement.