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PT Krakatau Steel may slash the amount of equity it plans to sell in an initial public offering scheduled for November from an earlier target of 45 percent to less than 20 percent because of concerns about the economy and volatile market conditions.

“We will still push the IPO plan in November but we may not sell the entire 30 percent of shares,” Fazwar Bujang, Krakatau’s president director, said on Monday.

“We may sell about 20 percent or below during the IPO. It depends primarily on the market conditions.”

Krakatau, the country’s largest steelmaker, initially said it planned to raise Rp 3.5 trillion ($371 million) by selling 30 percent of its equity.

Last month, Fazwar said the company was looking to raise more capital and that it would sell up to 45 percent of its shares during the IPO.

But he has been forced into a rapid about-turn amid growing market turbulence and concern that another economic downturn may drive steel prices lower in the second half.

Despite these worries, Fazwar said he remained confident that sales would grow 19 percent to Rp 19 trillion this year, thanks mainly to rising steel prices.

Analysts said Fazwar’s concerns were understandable, pointing to the share price of one of Krakatau’s subsidiaries, PT Pelat Timah Nusantara. Its shares have plunged 24 percent since it listed on the Indonesia Stock Exchange on Dec. 14

In late January, the government gave the steelmaker its blessing to proceed with the IPO, despite worries about cheaper Chinese steel flooding the market after the Asean-China Free Trade Agreement slashed import tariffs. Janeman Latul