AstraZeneca CEO suggests stock listing move to the US

CEO Pascal Soriot is contemplating moving AstraZeneca's stock listing from the UK to the US.

AstraZeneca considers shifting stock market listing to the US

AstraZeneca's CEO Pascal Soriot has expressed interest in moving the company’s stock market listing from the UK to the US, according to a report by the Times. This shift could significantly impact the London Stock Exchange, which has already seen several companies, like Ashtead and Flutter Entertainment, leave to seek better valuations in other markets. Following the news, AstraZeneca's shares rose by 2.8%. However, such a move would likely meet resistance from the UK government, although they cannot formally block it. AstraZeneca has recently engaged in discussions with the government about rebates on new medicine sales to the NHS, reflecting ongoing tensions between the company and public authorities. Soriot has publicly criticized the rejection of a key breast cancer drug by the NHS, further highlighting a contentious relationship with government policies regarding pharmaceutical pricing.

The potential relocation of AstraZeneca's stock listing represents a growing trend among UK companies that seek higher valuations abroad. This comes at a time when the UK government struggles to keep major businesses in the country. The move could also mirror frustrations felt by many executives about how the UK market undervalues their companies. Soriot’s ambitions for growth in the US underscore not only the importance of this market for AstraZeneca, but also the broader implications for the UK's competitive position in the global pharmaceutical arena.

Highlights

The future of AstraZeneca's relationship with the UK remains uncertain as it explores new opportunities.