Date
18 October 2017
WH Group has scaled down the fund-raising in its second attempt at IPO.
WH Group has scaled down the fund-raising in its second attempt at IPO.

WH Group said to have raised US$2.05 bln in Hong Kong IPO

Chinese pork producer WH Group has raised US$2.05 billion in its second attempt at an initial public offering in Hong Kong, the Wall Street Journal reported Tuesday.

The company, which acquired US-based Smithfield Foods Inc. last year, sold 2.57 billion shares at HK$6.20 (80 US cents) apiece, the report said, citing people familiar with the matter.

The deal was scaled down from the previous attempt in April when the firm had tried to raise as much as US$5.3 billion.

The latest share sale price represents 11.5 times forward 2014 earnings, rather than the 15-20.8 times implied by the price range set in the April attempt, according to the Journal.

WH Group has an option to sell additional shares after listing, which could raise the deal size to US$2.36 billion. It plans to list on the Hong Kong Stock Exchange on Aug. 5

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RC

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