The challenging economy is making life tough for biometrics startups. The latest casualty is Upek Inc., a maker of fingerprint authentication technology that Tuesday afternoon withdrew its IPO, citing market conditions.

The news follows the IPO withdrawal of biometrics device maker Cross Match Technologies Inc. in January, which followed news last summer that the company was suspending the offering.

Swiss chipmaker STMicroelectronics NV [STM] spun out Upek in 2004, upon which the newly independent startup received $20 million in backing from Sofinnova Ventures, its French sister firm Sofinnova Partners, Diamondhead Ventures, Earlybird Venture Capital, EDBV Management and Green Dot Capital.

Underwriters on the now-dead Upek offering were Deutsche Bank Securities, Needham & Co. LLC, Pacific Crest Securities and Piper Jaffray & Co. Upek filed to go public in May 2007. - Olaf de Senerpont Domis

See Upek S-1 from SEC.gov
See Upek profile from Renaissance Capital's IPOhome
See August 2007 story from TheDeal.com
See March 2004 story from TheDeal.com