The new London IPO hits 28-year low amid concerns at AstraZeneca exit

With businesses moving towards places with plenty of liquidity and too few stable IV drips and initial public offerings taken by businesses personally, pressure is placed on them to reverse the slow, relentless shrinking of London’s historic trading venues. More than $100 billion in London listed companies have announced or implemented plans to move to New York in recent years, according to Bloomberg calculations.

AstraZeneca CEO Pascal Soliott wants to move the drugmaker’s stock price to the US. The Times reported Monday, citing complaints about the UK’s drug control regime and concerns that the country’s life sciences industry is lagging behind the US and China. Exiting from the exchange by the most valuable UK companies risks sending shockwaves throughout the financial sector and enticeing more businesses to join the confident listing flow to leave the city.

That would make the new IPO even more difficult tasks. London-listed companies have raised less than £200 million ($274 million) over the past six months, according to data compiled by Bloomberg. Additionally, stocks like AstraZeneca have far greater sales for US deposit receipts than in London.

The move by Astrazeneca will accelerate the horrifying trend of businesses voluntarily moving their listings to the US. Wise Plc is the latest bunch and is revealed last month Following in the footsteps of Flutter Entertainment PLC, CRH PLC and Indivior PLC, moving its main list to New York for better liquidity and new investors.

Of concern, there is a trend towards UK listed companies that have received this year’s acquisition offer, potentially removing them from the exchange. Data compiled by the Bloomberg Show, since January 1st, Spectris Plc, Derviroo Plc and Assura Plc are one of 48 pending or completed transactions since January 1st.

“The size of M&As and lack of IPOs have significantly reduced the number of UK listed growth companies,” Peel Hunt’s research director Charles Hall said in a research note. “We see a continuing outflow of UK capital that needs to be addressed through pensions, ISAs and stamp duty reforms.”

Revert the IPO tap

Dealmakers say they’ll see several more IPOs on the market later this year, and could pave the way for stronger rebounds from 2026.

“We are committed to providing a range of services to our customers,” said Tom Bacon, partner of BCLP’s M&A and Corporate Finance Team. “This isn’t the strong reopening that everyone wants, but it could start building momentum.”

Professional services company MHA PLC has been its biggest product to date in 2025, raising £98 million for the purpose of London’s junior blues. Meanwhile, Glencore PLC-backed Cobalt Holdings Plc has cancelled what could have been London’s biggest IPO in two years, and first fashion retailer Shein has moved preparations for the IPO from London to Hong Kong. I said.

Some companies reportedly considering a London IPO this year are Italy’s New Prinques Spa, Banco Santander Santander Payment Company Ebury, and Uzbek Gold Miner Navoi Mining & Metallurgical Co.

The biggest boost will come next year from the planned IPO of Bisma, a software giant with a total of 19 billion euros ($22.4 billion). Private equity group HG Capital has tentatively selected UK capital for its listing reforms in London, particularly the following rules that allow Euro religious stocks to the flagship FTSE index:

“I don’t feel like there are lines of IPOs in London, but there are some candidates out there,” said Andreas Bernstorff, Head of Equity Capital Markets at BNP Paribas SA.

European issues

London is undoubtedly the most difficult of any European exchange, but that’s not the only one. Data compiled by the Bloomberg Show shows that Europe has suffered the worst second half of IPO volumes for over a decade, with Basen in Milan, Paris and Zurich seeing lower volumes than London. Part of this year’s problem was a volatility match unleashed by US President Donald Trump’s tariffs, which shut down the market for several weeks, prompting some publishers to delay plans for the release.

The London list, where capital is not nurtured, provided a set of hope. Last month, Anglo American’s Valterra Platinum Ltd. completed its secondary list in London, following in the footsteps of International Paper Co., which added the London list as part of its acquisition of rival DS Smith Plc. Greece’s Metlen Energy & Metals SA said last week it expects it will begin trading in London in early August, despite not raising funds.

Certainly, the UK has been Europe’s busiest venue so far this year, considering the Boon in Pollow-on issue, including £5 billion worth of stake sold by Pfizer Inc. at Sensodyne-Maker Haleon Plc. Rosebank Industries Plc, which was listed on AIM Exchange last year, was able to raise £1.14 billion from investors to fund its US acquisition.

“For businesses with a compelling equity story and a strong management team, the London market works very effectively,” said Jonathan Parry, capital market partner at White & Case.