The London Stock Exchange has defended itself after criticism that it was “toxic to tech companies” by an investor in Darktrace and Deliveroo.
Neil Shah, the LSE’s tech sector specialist, told The Telegraph that there were “lots of good companies achieving robust valuations in London”.
Many of the tech firms that have gone public in the UK recently have enjoyed share price boosts since, Shah told the newspaper.
Darktrace shares were down 0.77 per cent while Deliveroo’s price was down almost two per cent tonight.
An “old world mentality” in the City had prevented listed tech companies from enjoying the same valuation levels as in the US, according to Hussein Kanji, a partner at London-based venture capital fund Hoxton Ventures.
“I think the exchange is toxic to tech companies and being honest about why is the only way to solve it. If the exchange continues to believe it’s great and markets only that, it stays a problem,” he said in a tweet.
“I think it’s an old world mentality. Given that these are flagship tech companies that decided to list in the UK, the UK market has not been very kind towards them,” Kanji added to The Telegraph.