Ryanair steps up plans to scrap London Stock Exchange

Ryanair has started taking concrete steps to exit the London Stock Exchange (LSE), a move that will increase the importance of its Dublin listing.

his move is well marked in the market.

The directors of Ryanair Holdings have given notice of their intention to request the UK Financial Conduct Authority (FCA) to delist the company’s common stock from the FCA’s official list.

The Board will also request the LSE to withdraw its admission to trading on the LSE’s principal listed securities market.

In a stock exchange statement on Friday, the airline said it has decided to request the cancellation of the London Listing as the trading volume of the shares on the LSE “does not justify the costs associated with such listing and admission to trading, and thus to consolidate trading liquidity into one regulated market for the benefit of all shareholders.”

The airline said earlier this month it was considering delisting as part of its interim results.

The company is obliged to give at least 20 working days notice of the intended cancellation of the offer. Therefore, the delisting in London is intended to take effect from 20 December. Ryanair expects the shares’ last trading day on the LSE to be December 17.

Following the cancellation of the London Listing, the company will continue to have a primary listing on Euronext Dublin.

At the time of the interim results, Neil Sorahan, the airline’s chief financial officer, said the opportunities for Ryanair have “never been better” as the airline sector continues to recover from the Covid-19 pandemic.

The airline saw its losses fall by 90 percent to EUR 48 million in the six months to September 30.

The performance was boosted by a 128 percent increase in passenger numbers to 39.1 million as travel restrictions eased across Europe.

Revenue for the six months was €2.15 billion, up 83 percent year-over-year from €1.18 billion, according to the group’s interim results.

The ancillary revenues, which are spent on extras such as priority boarding and seat selection, continued to perform “strong”, generating more than €22.50 per passenger.