Boost for City as Smiths Group pledges to maintain London itemizing – for now
Smiths Group offered the City some lukewarm support yesterday by saying it would stay listed in London – at least for now.
The engineering group, which makes airport baggage-screening kits and explosive detectors, has been urged by US activist investor Engine Capital to explore a move to New York.
But chief executive Roland Carter downplayed the possibility of such action – though he did not rule it out altogether.
‘We never say never,’ he explained. ‘We’ve been listed for more than 110 years on the London Stock Exchange. We intend to remain a FTSE 100 company for now.’
The LSE is grappling with a shortage of listings while companies are also leaving through takeovers or defections to other bourses. Betfair and Paddy Power owner Flutter has moved to New York as has building materials company CRH.
Miner Rio Tinto is resisting pressure from investors to move to Sydney while rival Glencore and oil giant Shell are considering their options.
Smiths yesterday reported a profit of £269million for the six months to the end of January – up from £246million a year earlier.
Pressure: Smiths Group, which makes airport baggage-screening kits and explosive detectors, has been urged by US activist investor Engine Capital to explore a move to New York
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