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HEALTHCARE SERVICES COMPANY United Drug is considering de-listing its shares from the Irish Stock Exchange, it was revealed this morning.
In its interim management statement, the board said it is currently reviewing its listing arrangements as a result of significant growth in global operations and the “substantial presence of international investors on the share register”.
The Irish-based company employs 4,500 people worldwide and operates in five international markets.
The drugs distributor believes an inclusion on the FTSE UK would be beneficial as it would further increase investor awareness of United Drug. If the shares were listed solely on the London Stock Exchange, then the company should be eligible for the FTSE UK Index Series.
The board said it is exploring the possibility of de-listing from the ISE and a further announcement would be made “as appropriate”.
If it goes ahead with the de-listing, it would be another major name lost after Greencore and Balmoral International removed their shares last year. Cement giant Readymix is also considering de-listing.
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well I don’t blame any company who considers delisting. why wouldn’t you? Sure there is no life left in the ISE. Returns are minimal. on the other hand the FTSE and DAX index are more liquid and have many more investors than the ISE. A drop from 10000 plus points during the boom to 2500 in the recession and now little over 3000. like come on is this all we have grown in 4 years.?
yes that’s all we have grown in 4 years.. I think it has something to do with the word recession.
I think ye should do an explainer on the ise and ftse.
This Company has had a colourless performance under its present Chief Executive and he’s now trying to lay the blame on someone or something other than himself. Their successive investments outside Ireland have not yielded the results required and the domestic Pharmaceutical Wholesale business is shrinking at an alarming rate. Market share no longer tells us anything unless we analyse values and unit pricing. Methinks the Company need a new Direction.
simon its funny you mention the word recession. u know DowJOnes ,S&P and dax were also affected by recession. nikkei was affected by an earthquake .yet they managed to grew. Dow Jones went to low as 7900 points, how is it back up to 13000 points in the same period of time. there is a huge difference between 5000 point increase as compare to only few hundred. its not the fear that Ireland will leave euro zone. its the fact that investing in Ireland will get you no where. no liquidity in the stock market. no consumer confidence among the public. etc etc. the word recession is used to hide our own wrongdoings of the past.
I’m doubting their claim that they are delisting because there are more international investors on the FTSE. If a company can produce good returns then investors will find them no matter where they are.
My guess is that they’re delisting because they believe Ireland will get kicked out of the euro. Given that some of Wall Streets biggest hedge funds have billion dollar bets on that event occurring they have probably made the right decision.
have your say