Ashtead is out of reasons to stay in London
10/12/2024 10:30
(The author is a Reuters Breakingviews columnist. The opinions
expressed are her own.)
By Aimee Donnellan
LONDON, Dec 10 (Reuters Breakingviews) - The $31 bln
equipment-rental group plans to shift its main listing to New
York. It makes sense since most earnings come from the US. Throw
in the prospect of higher CEO pay and President-elect Donald
Trump’s America First stance, and the switch looks like a
no-brainer.
Full view will be published shortly.
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CONTEXT NEWS
UK equipment-rental firm Ashtead is proposing to move its
primary listing to New York from London, it said on Dec. 10, as
it also warned of lower-than-expected annual earnings due to a
weak commercial construction market in the United States.
Ashtead, which makes most of its profits in the United
States, said it would discuss the New York listing proposal with
shareholders and expects to implement the plan in the next 12
to 18 months.
Ashtead said it had considered several factors including
increased exposure to U.S. investors through a primary U.S.
listing. It would retain a UK listing in the international
companies segment.
Shares in Ashtead were down 10.3% at 56.24 pounds by 0955
GMT on Dec. 10.
(Editing by Liam Proud and Streisand Neto)
((For previous columns by the author, Reuters customers can
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Aimee.Donnellan@thomsonreuters.com))