Record Delisting and Transfers on LSE in 2024

The London Stock Exchange (LSE) saw as many as 88 companies delist or transfer their primary listing from the main market in 2024, the most in the last 15 years.

A number of these companies cited declining liquidity and lower valuations compared to other markets as reasons for moving away from the LSE, particularly the US which offers deeper capital pools and higher trading volumes.

Takeaway giant Just Eat, Flutter Entertainment, which owns brands such as Betfair, FanDuel, Paddy Power, PokerStars, Sky Betting & Gaming, and Sportsbet, travel group Tui, and equipment rental firm Ashtead were among those who announced plans to delist from the main UK Listing.

According to media reports, Flutter Entertainment switched its primary listing to New York, where it said it could access the world’s deepest and most liquid capital markets. Just Eat abandoned its listing on the LSE altogether, citing the administrative burden, complexity and costs associated with keeping its shares in London as one of the reasons to quit.

Other companies such as Watches of Switzerland faced pressure from activist investors to swap their main stock market listing to the US.

However, during one of the quietest years on record, LSE was buoyed by the listing of Canal+ in the final quarter of 2024. The listing, which raised $3.24 billion, was the largest debut on the LSE since 2022, E&Y, which provides consulting, assurance, tax and transaction services globally, said on Monday.

There were eight IPOs in Q4 of 2024 – three on the main market and five listings on AIM, raising $3.49 billion. This brought the total number of listings on the main market and AIM this year to 18 – the lowest volume of listings since EY started to record this data in 2010.

Despite the low volume of listings in 2024, $4.24 billion of proceeds were raised over the year, a 256% y-o-y increase on the $1.19 billion raised from 23 issuers in 2023.

LSE’s Quiet Year

Scott McCubbin, EY UKI IPO Leader, said that it has been quiet year for the LSE and, while Q4 activity picked up significantly, headwinds facing the UK’s listings market remain. Ongoing geopolitical instability, slow economic growth and a diminished appetite for domestic equities among pension funds have impacted valuations and liquidity.

He said that there was largest outflow of companies from the main market since the global financial crisis in 2008 as companies sought access a deeper pool of investors and the prospect of improved liquidity on other exchanges.

But there are reasons for cautious optimism this year as a stabilised domestic policy environment post-election, robust pipeline of deals, and listings reform are creating opportunities to restore London’s competitiveness, which could drive a rebound in activity in H1 of 2025. Businesses eyeing IPOs will be closely watching the market to time their public offerings effectively.

“While London faces strong competition from other financial centres, its unique strengths – including a global reputation for financial expertise, strong corporate governance, and a robust legal framework – remain competitive advantages. By leveraging these strengths and implementing strategic reforms, London can reassert itself as a leading global destination for IPOs,” McCubbin added.

Global IPO Volumes Decline

The global IPO market recorded 1,215 deals, raising $121.2 billion in proceeds in 2024, falling slightly behind 2023 levels.

For the first time, India has risen to the top position globally for IPO volume, recording 327 deals in total, whilst the US reclaimed the top spot globally for IPO proceeds for the first time since 2021, raising US27.6 billion in 2024. It contributed to a strong recovery for the Americas region which saw 205 IPOs in total raising $33.1 billion.

IPO activity in Asia-Pacific saw a 35% decline in deals and 51% decline in proceeds y-o-y. This was driven by tighter regulations in the Chinese mainland contributing to its weakest IPO performance in a decade, and Australia recording its sharpest decline in IPO volume in more than 20 years.

Public listings of private equity (PE) and venture capital (VC) backed portfolio companies generated 46% of total global IPO proceeds in 2024, highlighting their substantial contribution to global IPO activity.