Wise, a United Kingdom-based money transfer company, announced plans to shift its primary stock market listing to the United States.

This move will create a dual listing, with its main hub in the US and a secondary listing on the London Stock Exchange (LSE).

The decision was revealed in Wise’s full-year earnings report on June 5, 2025.

The company said that this arrangement will allow its shares to trade on both a US stock exchange and the LSE.

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🔗 Source: CNBC

🧠 Food for thought

1️⃣ The valuation gap between US and UK markets drives listing migrations

European stocks, including those on the London Stock Exchange, trade at a significant discount of nearly 50% compared to the S&P 500, creating a financial incentive for companies like Wise to seek US listings 1.

This valuation disparity is particularly pronounced for technology and fintech companies, which typically command higher multiples in US markets where there’s greater investor familiarity with these business models.

The migration pattern reflects a broader challenge for London, where the market composition features fewer high-growth tech companies compared to US exchanges, creating a cycle where analyst expertise and investor interest remains concentrated in traditional sectors 2.

Companies pursuing dual listings gain access to deeper capital pools while hedging against local economic fluctuations, with research showing that dual-listed companies can significantly increase their market capitalization and trading volumes 3.

Wise’s decision follows similar considerations by other London-listed companies seeking to close valuation gaps with US-listed peers, as outlined in recent market analyses 4.

2️⃣ Dual listings represent a strategic compromise in the global listing landscape

As of December 2020, 28% of issuers on the London Stock Exchange were incorporated outside the UK, demonstrating that London maintains significant global appeal despite increasing competition from other exchanges 5.

Dual listings allow companies to balance maintaining their historical presence and investor relationships in their home market while accessing the deeper capital pools and potential higher valuations available in other markets 3.

Companies pursuing this strategy must navigate distinct regulatory requirements across multiple exchanges, which increases compliance costs but can enhance credibility with international investors concerned about governance standards 5.

For companies like Wise, maintaining a secondary listing in London while establishing primary listing status in the US represents a calculated approach that preserves existing investor relationships while positioning for potential valuation uplift 4.

The strategy has become increasingly common as companies seek to optimize their capital market presence in a globalized financial ecosystem where different exchanges offer varying advantages in terms of liquidity, analyst coverage, and investor base 6.

Recent Wise developments

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