(Tiper Stock Exchange) – CRH extensionan Irish group which is a global giant in the building materials sector, plans to exit the Irish Stock Exchange as it seeks a primary listing in the US. The decision follows the company’s announcement last month that it would move its main listing to New York from London. CRH, upon completion of the transaction, will maintain a standard listing on the London Stock Exchange and headquarters in Ireland.
It is a big backlash Euronext Dublin, as CRH has a market value of 31.8 billion euros and represents almost 22% of the capitalization of the main stock exchange index (Iseq 20). Furthermore, CRH is only the latest company to leave the Irish stock exchange in recent years, following appointees such as CPL Resources and Applegreen.
“Achieving inclusion in the US equity index is critical to this move. We have received clear and consistent advice from our advisors that, in order to achieve inclusion in the US stock index, CRH will have to de-list from Euronext DublinCRH CFO Jim Mintern told the Irish Times.
While the company hasn’t indicated which U.S. index it targets, it’s likely to look into it inclusion in the S&P 500The Irish Times reported, citing people familiar with the matter.
“Although we would have preferred to keep our Euronext listingit is clear that this would not be compatible with our goal of achieving inclusion in the US equity index,” the CFO reiterated.
A spokesman for Euronext he told the Irish Times that “it would be disappointed to see any company leaving our marketsbut declined to comment on the specific case of CRH.
“A key focus for us remains to work closely with the broader equity markets ecosystem to provide a more favorable market environment to support the growth and financing of Irish companies and incentivize more companies to IPO in the future,” he added.