views

Reuters to leave the LSE

FINANCIAL data provider Thomson Reuters said yesterday that it plans to withdraw its shares from the London Stock Exchange (LSE) to simplify its capital structure.<br /><br />The company, formed when Canadian data publishing company Thomson bought British news and financial information provider Reuters, said it would also remove its shares from the Nasdaq.<br /><br />It will retain a dual-listing on the New York Stock Exchange and on the Toronto exchange in Canada.<br /><br />The move will be a big loss for the LSE, which has been under pressure as smaller rivals have eaten into its trading market share, and larger rivals diversify with trans-Atlantic mergers.<br /><br />But chief executive Thomas Glocer played down concerns that the move would see Thomson Reuters lose some of its UK&ndash;based shareholders, noting that only five per cent of all shareholders are in the UK.<br /><br />He expressed hope that those shareholders would retain their holdings even after the delisting.<br /><br />&ldquo;Our shares are now fragmented, divided between North America and London in a way we didn&rsquo;t envision.&rdquo; <br /><br />&ldquo;That&rsquo;s hurting the company because there are investors who would come in but won&rsquo;t,&rdquo; he added.