(Alliance News) - Plumbing merchant Ferguson PLC faces a shareholder rift after announcing its plans to switch its listing from the UK to the US, the Financial Times reported early on Wednesday.
In June, US activist fund Trian Partners said it had acquired an almost 6% interest in the FTSE 100-listed Ferguson, becoming one of its largest shareholders.
On Wednesday, the FT reported that one of Ferguson's top-20 investors had claimed that the firm sought shareholders' opinion on the back of Trian's involvement.
The newspaper said it is debatable whether Ferguson will manage to get the requisite 75% shareholder approval to move its listing, as it would prove unpalatable to many UK-based fund managers, whose investment mandates often prevent them from holding overseas-listed stocks.
The potential move will also add to concerns across the City of London about the future of London's stock market, after a raft of takeovers and delistings. Last month, Netherlands-based Takeaway.com agreed an all-share deal to buy Just Eat PLC, the blue-chip food business. Last year Randgold Resources Ltd, Shire PLC, Sky Ltd and Worldpay Group PLC were all bought and left the London's large-cap index.
https://www.ft.com/content/ba4540a8-c35e-11e9-a8e9-296ca66511c9
Ferguson (FERG)