The London Stock Exchange made a new move to poach listings from rival overseas bourses, announcing plans today for a 'fast-track' admission route for smaller overseas firms.
The plan steps up the battle among exchanges to grab a larger slice of share dealing activity amid tough trading conditions. It could also be seen as an attempt to exploit some disaffection with growth markets elsewhere in Europe.
The LSE, Europe's largest share market, said it would introduce the fast-track admission route for firms from outside the UK to list on its AIM market for smaller, growing companies. The Exchange said companies already listed on any of nine overseas exchanges would now be able to use their existing annual report and accounts as a basis for being listed on AIM.
The LSE said the fast-track route to AIM would be available to companies already listed on the main markets of the New York Stock Exchange, Nasdaq, Euronext, Deutsche Boerse, the Australian Stock Exchange, the Johannesburg Stock Exchange, Stockholmsboersen, the Swiss Exchange and the Toronto Stock Exchange.
It will avoid the need for companies to issue an expensive prospectus, and the offer will be marketed overseas as offering a secondary rather than a primary listing. Companies will still need an LSE-nominated adviser - such as a broker - to vouch for their listing on AIM.
AIM was set up in 1995 and at the end of April it had 705 companies listed, including 51 international firms. It is more lightly regulated that the LSE's main market, and typically attracts smaller companies.
