The chief executive of AstraZeneca has suggested the company could consider moving its primary stock market listing from London to New York, highlighting concerns over lower valuations and diminishing market relevance in the UK.
Pascal Soriot, who has led the Anglo-Swedish pharmaceutical giant since 2012, told investors and analysts that AstraZeneca’s board was actively examining the pros and cons of shifting its main listing to the United States. The remarks mark the clearest indication yet that one of Britain’s most valuable companies could follow in the footsteps of other multinationals re-evaluating London’s appeal as a global financial hub.
Soriot cited the “very substantial valuation gap” between US-listed pharmaceutical firms and their UK counterparts as a central concern. While AstraZeneca has remained loyal to its London roots—having rebuffed a hostile takeover from Pfizer a decade ago partly on those grounds—the changing dynamics of global capital markets appear to be tilting the board’s thinking.
The US stock market, and particularly the Nasdaq exchange, continues to attract higher multiples for biotech and pharma stocks. Several UK-based firms, including chip designer Arm and construction giant CRH, have already shifted their main listings across the Atlantic in pursuit of deeper capital pools and higher investor demand.
AstraZeneca’s possible move would be a significant blow to the London Stock Exchange, which has struggled to retain large listings amid concerns over liquidity, governance regulations, and Brexit-related friction. The UK government has been trying to modernise the listing regime to keep high-growth firms and global leaders on British soil, but results have been mixed so far.
Despite the speculation, no final decision has been made, and Soriot emphasised that any change would need careful consideration of shareholders, regulators, and market access. However, the remarks have reignited the debate about London’s competitiveness and the urgency of reform.
Analysts say that if AstraZeneca were to shift its listing, it could spark a domino effect, encouraging other FTSE 100 firms to explore similar moves. The company’s market capitalisation exceeds £180 billion, and its presence is a cornerstone of the index.
Investors are now watching closely for signals from the board or from UK regulatory bodies, amid growing fears that another blue-chip departure could further weaken London’s status on the global financial stage.
REFH – newshub finance
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