AstraZeneca (LSE:AZN) announced on Monday that it will switch to a direct listing of its shares on the New York Stock Exchange, replacing its current depositary receipt structure, in an effort to broaden its appeal to global investors. The company confirmed it will continue to be listed and headquartered in London.
The decision should reassure UK investors, following reports that the Anglo-Swedish pharma giant—London’s largest company by market value—was considering abandoning its British listing in favor of the U.S., which had fueled concerns about London’s shrinking capital markets.
Other companies that have recently moved or contemplated moves away from London include miner Glencore, investment firm Petershill Partners, and equipment rental company Ashtead. Unilever also chose Amsterdam for the listing of its ice cream spin-off.
“We set out our proposed harmonised listing structure which will support our long-term strategy for sustainable growth, while remaining headquartered in the UK and listed in London, Stockholm and New York,” AstraZeneca Chair Michel Demare said in a statement. “Enabling a global listing structure will allow us to reach a broader mix of global investors.”
Earlier this month, AstraZeneca paused a planned £200 million ($268.8 million) investment at its Cambridge research site, joining other drugmakers scaling back UK operations due to challenging business conditions.
The company has also committed to investing $50 billion in U.S. manufacturing by 2030 and will reduce certain direct-to-patient U.S. drug prices, responding to requirements from President Donald Trump’s administration aimed at avoiding steep import tariffs.
AstraZeneca’s shares have gained roughly 5% this year, and the firm plans to put its listing proposal to a shareholder vote on November 3.
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