Just this week, FTSE 100 constituent Ashtead Group announced plans to move its primary listing to the US, where the construction equipment rental firm derives most of its revenues. It joins other blue-chip UK companies like construction materials group CRH and Flutter Entertainment in shifting their primary listings overseas.
UK investors need to start allocating more capital to domestic stocks or London risks seeing more companies relist abroad or be taken private, according to Goldman Sachs strategists.
“More UK companies are talking about moving their listing to the US,” strategists led by Sharon Bell wrote in a note to clients on Friday. “In order to stem this migration and reduction in equity supply, there would need to be more allocation to equity by UK-based capital.”
