Kingspan plans to quit London listing in latest blow for LSE
LONDON (Reuters) – Irish construction company Kingspan plans to delist from the London Stock Exchange, it said on Friday, in the latest blow for the bourse and Britain’s wider financial services industry.
Fears that London is losing its appeal have been growing as sluggish trading and low valuations drive companies away from its stock market.
Kingspan, also listed in Dublin, said it would seek shareholder approval for the London cancellation, which it said made sense because trading in London was negligible as a percentage of total trading in its shares.
UK-headquartered chip designer Arm, which is owned by Japan’s SoftBank, last month said it would pursue a U.S. listing, dashing hopes that it would return to the London market.
Dublin-based building materials giant CRH also decided this year to move its primary listing from London to the United States while online betting company Flutter Entertainment is consulting shareholders on an additional U.S. listing.
Britain’s struggle to attract IPOs and retain listed companies stems partly from London-listed groups being valued lower than those in the United States, investment bankers have said.
(Reporting by Sarah Young; Editing by David Goodman)