ADVERTISEMENT

Irish Cider Maker Embraces U.K. Stock Market Despite Brexit

Irish Cider Maker Embraces U.K.’s Stock Market as Brexit Looms

(Bloomberg) -- The Irish maker of Bulmers and Magners cider is moving closer to the U.K. even as uncertainty remains about how to solve the Brexit conundrum.

C&C Group Plc plans to cancel its stock listing on Euronext Dublin, while keeping its shares traded on the London Stock Exchange, the Irish company said in a statement Tuesday. C&C plans to seek admission to the LSE’s FTSE stock indexes, and the existing U.K. shares, which are now denominated in euros, will switch to pounds on Oct. 7, it said.

Irish Cider Maker Embraces U.K. Stock Market Despite Brexit

The majority of C&C’s revenue and profit now come from the U.K. since the acquisition of distributors Matthew Clark and Bibendum there last year, and most of the company’s shares are held by investors in the U.K. and North America, it said. Adding the stock to FTSE indexes will “increase awareness of C&C among the investor community,” the company said.

C&C’s decision to focus on Britain runs against the recent trend in equity markets. The U.K. has seen a 21% decline in the number of initial public offerings since the vote to leave the European Union, according to data compiled by Bloomberg.

C&C shares have surged 49% in Dublin this year and are among the best performers in Ireland’s ISEQ All-Share Index. Their average daily volume of 821,000 shares in 2019 compares with just 96,000 shares for the London-listed stock. C&C is aiming to be included in the FTSE All-Share Index and the FTSE 250 Index from Dec. 23, according to Tuesday’s statement.

To contact the reporter on this story: Lisa Pham in London at lpham14@bloomberg.net

To contact the editors responsible for this story: Beth Mellor at bmellor@bloomberg.net, Phil Serafino, Paul Jarvis

©2019 Bloomberg L.P.