Big foreign companies delisting themselves from NYSE
USA Today
Big foreign companies, mostly from Europe, are saying non, nein and nee to being listed on U.S. exchanges.
A surge of foreign companies, including Bayer, British Airways, BASF, Ducati and Royal Ahold, are bidding adieu to U.S. markets and their American depositary receipts.
Having a ticker symbol on U.S. exchanges used to carry cachet for foreign companies. But lackluster trading in many foreign listings and a feeling the costs of having a stock listed in the USA aren't worthwhile is sparking an exodus.
Already this year, 34 foreign companies have delisted from the New York Stock Exchange, and nine more have announced they plan to do so, says the exchange. That tops the 21 foreign companies that have joined the NYSE this year. Another 20 have said this year they plan to leave the Nasdaq or have done so already.
"There are companies lining up to exit U.S. capital markets," says James Angel, professor of finance at Georgetown University.
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CHEMICALS: BASF to leave NYSE
German chemicals group BASF hopes to save $6.85 million a year by delisting from the New York Stock Exchange to focus share trading on Frankfurt, London and Zurich from the beginning of September, the Financial Times reported on its Web site in August.
The firm joins a steady stream of foreign companies abandoning U.S. listings.