Kingspan Group Plc plans to delist from the London Stock Exchange, marking another potential high-profile departure from the flagship UK market.
(Bloomberg) — Kingspan Group Plc plans to delist from the London Stock Exchange, marking another potential high-profile departure from the flagship UK market.
The board has reviewed Kingspan’s market presence and proposed to delist from the UK due to the “negligible” trading levels, if it obtains shareholder backing for the move, the company said in an earnings statement. “We remain committed to our primary listing on the main market of Euronext Dublin, where the majority of share trading takes place,” it added.
Kingspan’s move would be another blow to London, with European companies increasingly looking to the US market due to its wider investor base and bigger pool of capital.
A growing number of European firms have decided to ditch their local listings, including building materials giant CRH Plc, which will ask shareholders to vote in June on moving its primary stock-market listing to the US from London.
The UK also failed to woo homegrown tech firm Arm Plc, which opted for a New York listing later this year. Drinks conglomerate Diageo Plc also intends to delist its shares in Paris and Dublin, while Dublin-based gambling company Flutter Entertainment Plc has secured shareholder backing to pursue an additional US listing.
Delistings Are Latest Blow to Gloomy European Market: ECM Watch
Kingspan, which reported sales “approaching” €2 billion ($2.2 billion) for the first quarter of the year, said it would provide an update on the potential delisting process and timing “in the coming weeks.”
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