Ethypharm, the French drugs delivery firm, and Lignum Technologie, a German machinery maker, have become the latest firms to pull their initial public offerings, adding to the woes in the European new issues market.

Last week Nordsee, the German restaurant chain, was forced to pull its offer after slashing its price amid concerns the shares would fall in secondary trading. On Monday Giacomelli Sport, the sportswear retailer, became the latest Italian firm to price below its bookbuilding range. The firm was also forced to slash the number of shares on sale.