British pharmaceutical giant AstraZeneca announced plans Monday to list its shares directly on the New York Stock Exchange to attract more investors as it shifts focus further towards the United States.
The company said a direct listing in New York would replace trading in its American depositary receipts (ADRs), which give US investors access to foreign companies.
Britain’s largest drugmaker added that it will remain headquartered in the UK and keep its primary listing on London’s top-tier FTSE 100 index.
But the move highlights the increasing importance of the US market to AstraZeneca.
“The US has the world’s largest and most liquid public markets by capitalisation, and the largest pool of innovative biopharma companies and investors,” AstraZeneca said in a statement.
The company hopes the direct US listing, which will be discussed at its general meeting on November 3, will provide the “broadest available pool of capital.”
Spared during the initial rounds of tariffs imposed by US President Donald Trump, pharmaceutical companies are now being targeted.
Trump last week said he would impose 100-percent tariffs on all branded pharmaceutical products from Wednesday, unless companies are building manufacturing plants in the United States.
AstraZeneca said in July it would invest $50 billion by 2030 in the US to boost its manufacturing and research operations there.
Monday’s announcement reignited some fears among investors that AstraZeneca could one day decide to move its primary listing across the Atlantic — particularly amid criticism from several major companies over the UK’s investment policies and drug pricing.
“Although there has been no suggestion that AstraZeneca is imminently going to up sticks and move its primary listing from London, there may be some nervousness…. that the UK market might lose one of its largest constituents,” said AJ Bell investment director Russ Mould.
