Revolut CEO Nikolay Storonsky argues against a UK share listing, favouring the US instead.
- Storonsky criticises UK market liquidity and transaction costs, contrasting them with US benefits.
- Revolut’s potential IPO is highly anticipated amidst London’s stagnant market growth.
- Storonsky remains open to UK listing if market conditions improve.
- UK government efforts to attract high-profile listings face challenges.
Revolut’s CEO, Nikolay Storonsky, has publicly dismissed the idea of listing the company’s shares in the UK, suggesting that the US market offers better opportunities. Storonsky pointed out key differences such as market liquidity and the cost of trading, emphasizing that trading in the US is free, unlike the UK where stamp duty fees apply.
Storonsky has been vocal about the challenges faced by the London Stock Exchange in competing with US markets. Notably, Revolut is valued at $45 billion and is Europe’s most valuable private tech company. The company has rapidly expanded to over 50 million customers, with its growth outpacing many expectations.
The anticipation surrounding Revolut’s initial public offering (IPO) has been significant, particularly given the lackluster performance of the London markets, with more companies delisting than holding tech IPOs. The prospect of missing out on a major listing like Revolut could be a significant setback for London, especially following the departure of Arm, another tech giant, to the US markets.
Though Storonsky has not completely ruled out the possibility of a UK listing, his current assessment suggests that the US offers a better product for companies looking to go public. He noted that if the UK could offer a competitive advantage in the future, he might reconsider.
Efforts by UK officials to entice high-profile companies to the London Stock Exchange continue. The UK government has previously tried to persuade major firms to list locally, albeit with limited success. If Revolut proceeds with its IPO in the US, it will represent another challenge for UK financial policymakers.
Revolut’s stance highlights ongoing challenges for the UK in attracting major tech listings.
