Chaos of 29 banks worsens WH Group IPO shambles
WH Group delayed, restructured and shrank what would have been a $6bn IPO this week, after revelations about corporate governance gave investors qualms. The situation was undoubtedly made worse, however, by the issuer's decision to use a 29 bookrunner syndicate — a record for a Hong Kong IPO.
Bulging IPO syndicates have long been a complaint of Hong Kong bankers and investors, so commentators were understandably concerned when Beijing-based pork producer WH Group hired 29 banks to manage its debut on the Hong Kong Stock Exchange. Bankers' fears were confirmed this week when the deal failed