Friday, December 29, 2006

Going public in Ameri-, er, London.

A couple of stories from the Financial Times highlight the recently amplified trends of foreign companies delisting from American stock exchanges and choosing to go public in London.

In "Easier to check out - but a US listing is still a trap", FT reporter Robert Bruce compares US listings to a roach motel - "They check in, but they don't check out". Ouch. However, he does go on to report that the SEC is trying to make it easier for companies to delist from American exchanges. See the article for more.

More in the vein of "New York's loss is London's gain", as Joanna Chung reports on Europe's revived ranking in the global listings business. From, "Flurry in London sets bullish tone":

Europe held on to a significant slice of the global market for company listings this year - helped by a flurry of companies from emerging markets that chose to raise capital in London.

Companies raised $91bn in Europe, accounting for about 38 per cent of the funds raised through flotations worldwide, up slightly from last year and marking the highest share since 2000 when the figure was 45 per cent of the market.

Will the NYSE hedge themselves from this fallout (or possibly even gain business) through their nearly-completed buyout of Euronext NV?