WH Group Ltd (00288.HK), the world’s largest pork processor, has cancelled its Hong Kong listing plan amid poor market sentiment, the Hong Kong Economic Journal reported Wednesday, citing sources close to the situation.
The decision came a few days after the company slashed two-thirds of the proposed fundraising to about 1.3 billion shares from 3.66 billion and postponed the listing by more than a week.
Analysts said the company may be having a hard time pitching the deal to investors because of its relatively high price of HK$8 (US$1.03) to HK$11.25 per share.
In contrast, Sunfonda Group Holdings Ltd. (01771.HK) is relaunching its share sale at HK$3.61 apiece, roughly 1 percent less than the low side of a previous price range.
After landing China Insurance Group, Sunfonda has won two more cornerstone investors — an indirect unit of Guangzhou Automobile Group Co. Ltd. (02238.HK) and a private equity fund, the report said.
Meanwhile, Bank of Beijing Co. Ltd. (601169.CN), is planning to sell 3.4 billion H shares in Hong Kong this year in a deal potentially worth 26 billion yuan (US$4.15 billion).
The proposed fundraising would boost the bank’s capital adequacy ratio 3 percentage points, enough to cover its lending needs for the next five years, the report said.
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