AstraZeneca's Potential U.S. Move Sparks UK Market Anxiety
AstraZeneca Plc, the UK's most valuable listed company, is reportedly considering a significant shift in its stock market listing from London to the United States. According to sources cited by The Times, CEO Pascal Soriot has privately expressed a preference for such a move on multiple occasions, alongside discussions about relocating the company's domicile. This potential shift underscores the growing allure of the U.S. market for global pharmaceutical giants, despite AstraZeneca's deep roots in the UK.
The contemplation of a U.S. listing comes at a time when the UK stock market is facing challenges, including a series of delistings and missed opportunities in major initial public offerings. A move by AstraZeneca would not only represent a significant loss for the London Stock Exchange but also align with broader trends of companies seeking more favorable investment climates and access to larger capital markets in the U.S.
AstraZeneca's ties to the U.S. have been strengthening, with the company announcing a $3.5 billion investment in domestic manufacturing by the end of 2026 and rejoining the leading U.S. drug lobby group earlier this year. The U.S. market accounts for approximately 42% of AstraZeneca's revenue, highlighting its importance to the company's global strategy. These developments suggest a strategic pivot towards deepening its presence in the U.S., beyond just a change in listing venue.
While the potential move is still under consideration, it has already sparked discussions about the implications for the UK's business and investment climate. AstraZeneca has previously criticized the UK's investment environment, notably scrapping plans for a £450 million vaccine manufacturing plant in northern England due to reduced government support. The company's deliberations reflect broader concerns among businesses about the UK's appeal as a global financial and investment hub in the post-Brexit era.
