8th Mar 2021 08:29
(Alliance News) - Ferguson PLC announced its additional listing and trading on the New York Stock Exchange are to begin as of Monday following receipt of all required approvals.
The FTSE 100-listed plumbing and heating products distributor received shareholder approval for US listing back in July and was in the process of registering with the US Securities & Exchange Commission to enable trading of its shares in the US in February.
Ferguson said in February it will retain its premium listing on the London Stock Exchange and inclusion in the FTSE 100 index.
The company said it expects increased ownership from domestic US funds over time, with its executive team undertaking additional investor engagement in the US.
As a result of the additional US Listing, Ferguson's current American depositary receipt scheme managed by JP Morgan Chase Bank has been terminated. Existing Ferguson American depositary shares have been cancelled and exchanged for Ferguson ordinary shares in accordance with the applicable American depositary receipt exchange ratio, it added.
"The board believes the natural long term listing location is the US and in April 2020, we set out a two-step process to achieving this aim. The additional US listing is an important milestone and as previously announced, after a period of transition the board intends to hold a shareholder vote on a proposal to change the primary listing to the US," said Chair Geoff Drabble.
Back in January, Ferguson completed the GBP308 million sale of heating & plumbing distribution business Wolseley UK to US private equity firm Clayton, Dubilier & Rice LLC, saying at the time that the disposal meant it will be able to "focus entirely" on its North American business.
Shares in Ferguson were up 1.6% at 8,504.00 pence in London on Monday.
By Zoe Wickens; [email protected]
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