British fintech Wise to move primary listing to the U.S. in blow to London stock exchange

Key Takeaways:

• Wise plans to move its primary listing to the U.S.
• The move delivers a blow to the London Stock Exchange.
• Company will establish a dual listing, retaining London as a secondary market.
• Announcement made in full-year earnings statement.
• Aim is to allow shares to trade on both U.S. and London exchanges.

Introduction

British money transfer firm Wise announced on Thursday that it plans to move its primary listing location to the United States, dealing a fresh blow to the London Stock Exchange.

About Wise

Wise is a British fintech company known for its international money transfer services. Since its inception, the firm has gained prominence for offering low-cost and efficient financial solutions to individuals and businesses globally.

Details of the Dual Listing

In its full-year earnings statement, Wise revealed that it will transition to a dual listing arrangement. The company’s main listing hub will shift to the U.S., while it maintains a secondary listing in London.

“This would allow Wise’s shares to trade on both a US stock exchange and the LSE,” Wise said in its earnings announcement.

Impact on the London Stock Exchange

Wise’s decision marks a significant challenge for the London Stock Exchange. The move underscores a trend where companies seek the broader investor base and heightened liquidity that U.S. stock markets can offer. This shift may prompt reflections on London’s competitiveness as a global financial center.

Conclusion

As this is a developing news story, further updates are expected as more information becomes available. Wise’s strategic move to a U.S. primary listing highlights the evolving dynamics of international financial markets.