Macquarie released a research report stating that it maintains a "buy" rating for wh group (00288), with a target price of 9.2 Hong Kong dollars. The company announced details of the trade to spin off Smithfield, and it is expected that after the spin-off is completed, its stake in Smithfield will be reduced to a maximum of 80%.

The bank pointed out that after the spin-off is completed, Smithfield Group will mainly operate in the usa and Mexico, while wh group will focus on the domestic and europe markets. It is believed that this Smithfield will effectively unlock the value of the usa and Mexico businesses, while increasing shareholder returns, and it is also expected that wh group will use the proceeds from this trade to expand returns for existing shareholders. Assuming a distribution rate of 41%, the bank predicts wh group's normal return rate to be 5% to 6%.