Glencore targets secondary listing in Australia as London loses mining shine
Glencore will launch a secondary listing in Australia in the latest blow to London’s ailing stock market as miners continue to eye opportunities away from the UK.
The mining and trading juggernaut, which is among the largest companies on the FTSE 100 boasting a market cap of £64.4bn, is pursuing the listing following its group’s long-standing complaint that its shares are undervalued and there is too little liquidity in London.
Chief executive Gary Nagle said the listing would “broaden our investor base and enhance trading liquidity”, targeting admission to the Australian Securities Exchange (ASX) in October 2026.
Nagle said: “Australia is home to one of the world’s largest and fastest-growing pools of long-term investment capital.
“The market also offers access to a highly sophisticated investor base with deep expertise in the global resources sector.”
Shares climbed 3.5 per cent following the announcement, trading at 570.3p. The stock has climbed 39.4 per cent since the start of the year as the group, which boasts a enormous trading division, booked bumper profit off the back of market volatility caused by the Middle East conflict.
Australian shine
The Anglo-Swiss commodities firm operates a number of mines across Australia, branding it “one of our most important operating jurisdictions”, and has a large exposure to the country’s coal mining industry.
Nagle visited Australia earlier this year to warm up shareholders on the idea of a potential listing, after talks of a merger with Rio Tinto fell apart.
The ASX welcomed Glencore’s intention to seek a listing, saying the market is “globally recognised as the natural home for world-class resources companies”.
Glencore’s pursuit of ASX is not the first time a London listed miner has looked down under for liquidity, creating concerns that the UK’s standing as capital market hub for the industry is crumbling.
The London Stock Exchange lost out on the primary listing of BHP in 2022, when the Australian mining giant switched to its domestic market. It has obtained its secondary listing in London.
Rio Tinto, which has its primary listing in the UK, also faced an activist campaign last year that looked to review its place on the London exchange. Shareholders ultimately rejected the proposal.
Russ Mould, investment director at AJ Bell, said: “The mining sector was one area where the UK market enjoyed healthy representation, but Glencore’s announcement it will seek a secondary listing in Australia will raise fears this position could be further chipped away.”
But Anglo American, which is in the process of merging with Canadian miner Teck for $53bn (£39.3bn), has opted to keep its primary listing in the UK, while having its secondary listing in Toronto.