TOP NEWS: London loses another as Flutter moves primary listing to NY

Mon, 29th Jan 2024 13:06

(Alliance News) - Flutter Entertainment PLC on Monday said it plans to shift its primary stock market listing to New York from London, after "supportive" talks with US investors.

The Paddy Power owner, whose shares begin trading in the US later on Monday, believes the New York Stock Exchange is "now the optimal location" for a primary listing. A switch to the NYSE "should be made as soon as practicable", the FTSE 100 listing added.

It will put a proposal forward to shareholders at its May 1 annual general meeting. If backed, the switch could take place late in the second quarter or early in the third.

"Following transition, the board intends to retain Flutter's UK listing as a secondary listing and believes this will ensure the greatest number of investors will be able to continue to hold Flutter shares and benefit from future value creation," Flutter added.

"Since February 2023, management has engaged widely with US investors, existing and potential, along with existing shareholders globally. The feedback received has been very supportive of moving Flutter's primary listing to the US."

Flutter's secondary listing in its home town of Dublin has been cancelled.

Shares in the company were 0.4% lower at 16,255.00 pence each in London on Monday afternoon.

Though it plans to retain a UK secondary listing, the move will mean the FTSE 100 loses its biggest gambling firm. Flutter's GBP28.83 billion market capitalisation is much higher than Ladbrokes owner Entain PLC's GBP6.15 billion.

The London Stock Exchange, which has struggled to attract sizeable new listings, has suffer a string of high-profile transfers of primary listing. Building materials firm CRH PLC moved its primary listing to New York in September. Plumbing and heating products supplier Ferguson PLC did the same in May 2022, months after miner BHP Group Ltd shifted its main listing to Sydney.

By Eric Cunha, Alliance News news editor

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