The Wall Street Journal reports,"a Chinese pork producer scrapped what could have been the world's biggest IPO in a year when investors balked at the high price.
The failed IPO was a blow to WH Group, which just eight months ago bought Smithfield Foods in the biggest Chinese acquisition of a U.S. company so far".
At that time, the landmark deal, and the Chinese company's private equity shareholders, were widely lauded for capturing China's growing appetite for high-quality meat with the purchase of the world's largest hog producer. On Tuesday, however, that marriage of Smithfield and Shuanghui became the latest Asian IPO to face investor distaste, and pulled an IPO that had already been reduced to US$1.9 billion from as much as US$5.3 billion.
At US$5.3 billion, WH's IPO could have been the world's biggest offering since Brazil-based insurer BB Seguridade Participacoes SA 's IPO that raised US$5.7 billion in April 2013, according to Dealogic
