Smurfit Kappa to move listing in Dublin to premium share listing in London
Dublin-headquartered paper packaging group Smurfit Kappa has said today that it is hoping to transfer its primary listing in London to a premium one in a bid to secure access to the FTSE index and expand its investor base, while simultaneously transferring its share listing on the Irish Stock Exchange to a secondary listing from a primary one.
This follows a review of the company’s listing arrangements where it switched from trading in euro to sterling in London at the start of this month.
The company said the move is being taken “to assist in increasing the profile of the company, providing it with exposure, and increasing its attractiveness, to a wider potential investor base and enhancing the liquidity of its shares”.
It added that the recent switch to sterling trading in the UK “offers investors greater flexibility in terms of how they hold ordinary shares”.
Smurfit Kappa will remain headquartered and tax resident in Ireland.
In an investment note, Davy commented: “While there is no guarantee that Smurfit Kappa Group will gain entry into the FTSE series, it is looking increasingly likely after today’s announcement.
“In the first instance, the move should result in index buying, which is positive, while the fact that a listing is being maintained in Dublin means that euro investors can continue to invest in the company.”
