Andy Hunter, deputy managing director of CK Infrastructure, the first company to list under the new rules, said the recent reform of London’s listing rules had made the UK stock market more attractive.
Hunter praised the reforms as “very welcome,” citing the streamlined process as an important factor in the company’s decision to pursue a secondary listing in London.
CK Infrastructure, a Hong Kong-based company with a market capitalization of nearly £14 billion, joined London’s main market on Monday, becoming the first firm to do so since sweeping reforms by the Financial Conduct Authority (FCA) came into effect at the end of July. Hunter noted that the changes simplified the listing process and ongoing regulatory requirements for UK-listed companies, making London a more attractive place for international firms.
The move is a positive sign for the London Stock Exchange, which is working to maintain its competitive edge amid growing concerns that it is losing business to other global financial centres, particularly New York. The reforms are part of the Financial Conduct Authority’s efforts to revitalise the London market by simplifying rules and attracting more companies to list in the UK. However, the changes have not been without controversy, as they reduce some of the protections investors enjoy, prompting warnings that they could undermine the UK’s reputation for high standards of governance.
Despite these concerns, CK Infrastructure’s decision to list in London, rather than looking elsewhere, underscores the appeal of the UK under the new rules. The company, which has a significant presence in the UK through its ownership of assets such as Northumbrian Water and UK Power Networks, saw the London listing as a natural progression after two decades of investment in the country.
Hunter also expressed confidence in the new Labour-led UK government, noting that CK Infrastructure believes the current administration will foster an investment-friendly environment. The endorsement comes as Chancellor Rachel Reeves is actively seeking foreign investment to boost economic growth, having recently reached out to major investors in New York and Toronto.
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