Opioid dependence treatment maker Indivior has confirmed a plan to move its primary stock market listing from London to New York this summer in yet another blow to the capital’s beleaguered bourse.
The FTSE 250 drugmaker said it had received “strong indications of support” from its shareholders for the move. Under the plan, which will be put to a shareholder vote next month, Indivior would maintain a secondary listing in the UK.
Indivior, which was spun out of consumer health and hygiene giant Reckitt Benckiser in 2014, established a secondary listing on the Nasdaq last year. It currently has a market capitalisation of £1.94bn.
The firm has argued that switching its primary listing would align with its growth opportunities. Indivior’s proprietary treatments are US-centred, while US-based investors make up nearly half of its total shareholder base.
Indivior’s plan comes as an increasing number of large UK-listed firms are tempted by deeper pools of capital and higher valuations across the pond.
Chipmaker Arm decided to IPO in New York last September despite a major charm offensive from the UK government, while building supplies firm CRH finished moving its primary listing to New York in the same month.
Already this year, gambling group Flutter has shifted its primary listing to New York, while the CEO of Shell, the biggest FTSE 100 company, floated the possibility of abandoning its “undervalued” London listing in what would be an unprecedented setback for the London Stock Exchange.
Indivior’s latest announcement came alongside its results for the first three months of 2024. The firm stuck with its prior guidance for 2024 after posting 12 per cent net revenue growth during the quarter, helped by strong demand for its Sublocade treatment.
Shares in Indivior fell as much as 9.8 per cent at the open in London but have pared back about half of their losses later in the morning.
Its stock price is up nearly 20 per cent so far this year, receiving a boost in February after first announcing the plan to switch its listing.