Why Investors didn't Buy Into WH Group?

        0330 GMT [Dow Jones] Among the reasons investors didn't buy in to the failed IPO by pork producer giant WH Group earlier this week was concern there would be a liquidity overhang after the IPO given that WH Group's private equity backers would be selling fairly large stakes, according to APS Asset Management portfolio manager Christopher Tan. Other fund managers have said WH Group hasn't yet proven synergies between its China arm, Shuanghui International, and Smithfield Foods, the U.S. firm that Shuanghui bought eight months ago. WH was seeking HK$8 to HK$11.25 a share (US$1.03 to US$1.45), which at the low end would have worked out to 15 times forward earnings. (chao.deng@wsj.com)
        (END) Dow Jones Newswires

        May 01, 2014 23:30 ET (03:30 GMT)