April 30 (Reuters) - DKV Mobility's owners have shelved plans for an initial public offering, with minority backer CVC Capital Partners reviewing options for its investment, two people familiar with the matter told Reuters.

The German on-road payments provider, which is majority-owned by the Fischer family, was tipped as a potential IPO candidate this year after tough markets forced it to postpone going public in October.

Despite a recovery in European IPOs in recent months, the company has stopped working on a stock market listing that would have given its private equity backer an opportunity to sell some of its shares, the people said.

CVC, which in 2018 acquired a 20% stake in DKV Mobility, is now exploring ways to exit its holding, including selling it back to the Fischer family or a new outside investor, the people added.

DKV Mobility sought a valuation of more than 4 billion euros in a deal, sources previously told Reuters.

Deliberations are preliminary, and plans may be altered or dropped, they said.

A spokesperson for DKV Mobility declined to comment.

After two years of muted activity, Europe has seen a string of IPOs in recent months as stock prices rise.

Trading performance has been mixed, however, with companies such as Swiss skincare group Galderma soaring in the aftermarket, whilst CVC-backed perfume retailer Douglas has traded below its issue price.

CVC itself debuted on the Amsterdam bourse last week, with its shares closing 17% up on their first day of trading.

IPO bankers said investors remain selective, often favouring larger, more liquid stocks such as Galderma and CVC or requiring steep price discounts. ($1 = 0.9345 euros) (Reporting by Pablo Mayo Cerqueiro in London and Emma-Victoria Farr in Frankfurt; Editing by Anousha Sakoui and Louise Heavens)