Hong Kong’s CK Infrastructure has become the first company to list under London’s revamped listing rules that came into effect at the end of July. The Hong Kong-based conglomerate, with a market capitalisation of nearly £14 billion, has praised the reforms as a significant factor in its decision to pursue a secondary listing in London.
Hunter praised the reforms as ‘very welcome,’ citing the streamlined process as a major influence on the company’s decision. The changes have simplified both the listing process and the ongoing regulatory requirements for UK-listed companies, making London a more appealing venue for international businesses.
CK Infrastructure joined London’s main market as the first firm under the Financial Conduct Authority’s (FCA) comprehensive reforms. These changes aim to revitalise the London market by simplifying the rulebook and attracting more companies to list in the UK. However, the reduction in some investor protections has ignited debate, with critics warning that this could undermine the UK’s reputation for high governance standards.
Despite these concerns, CK Infrastructure’s choice to list in London, rather than other global financial centres, underscores the appeal of the UK under the new rules. The company has a significant presence in the UK, owning assets like Northumbrian Water and UK Power Networks, and viewed a London listing as a natural progression after two decades of investment in the country.
Hunter also expressed confidence in the UK’s new government led by Labour, stating that CK Infrastructure believes the current administration will foster a favourable environment for investment. This statement comes as Chancellor Rachel Reeves actively seeks to attract foreign investment to bolster economic growth, recently engaging with major investors in New York and Toronto.
CK Infrastructure’s decision to embrace London’s revamped listing rules serves as a positive signal for the UK stock market, despite ongoing debates about reduced investor protections. The streamlined processes and regulatory requirements have enhanced London’s appeal as an international business hub, positioning it competitively among global financial centres.
