In a decisive move that underscores the shifting dynamics within the financial markets, TUI Group has announced that its shareholders have overwhelmingly voted in favor of delisting the company’s shares from the London Stock Exchange (LSE). Garnering a substantial 98.35% majority, the vote paves the way for the initiation of TUI shares trading on the Prime Standard of the Frankfurt Stock Exchange at the start of April, with an anticipated admission to the MDAX on June 24.
This strategic transition marks the culmination of a significant shift in trading activity, with the majority of TUI’s share transactions now being executed through the German share register. Currently, approximately 77% of TUI’s share transactions are settled directly in Germany, contrasting sharply with less than a quarter of its shares traded as UK depositary interests.
Mathias Kiep, CFO of TUI Group, expressed satisfaction with the shareholders’ decision, highlighting the move as a strategic alignment with the company’s evolving shareholder base and liquidity patterns. “We are pleased that TUI’s shareholders have followed our recommendation and voted in favor of the London Stock Market delisting,” Kiep stated. He further emphasized the benefits of consolidating the company’s listing in Frankfurt, noting the simplification of structures, centralization, and enhancement of liquidity in a single trading venue.
The decision to delist from the LSE and transition to the Frankfurt Stock Exchange follows a period of evaluation prompted by inquiries from various investors regarding the efficacy of maintaining a dual stock exchange listing. Over recent years, TUI has witnessed a significant transformation in its ownership structure, alongside a pronounced shift in liquidity from the UK to Germany.
The article TUI Group announces strategic delisting from London Stock Exchange first appeared in TravelDailyNews International.