BANGALORE: India's second-largest IT services company InfosysBSE -0.34 % said it will shift its American Depositary Shares from the NASDAQ to NYSE Euronext to give its European investors better access to its stock.
SD Shibulal, its CEO and MD, said the decision to transfer ADS—which were trading at $44.66 on the Nasdaq on Friday—was to "broaden the trading window available for global investors."
NYSE Euronext has tie-ups with exchanges in Europe, making stocks listed there more accessible to investors in Europe. ADS refer to the US dollar denominated share of any foreign company trading on an American stock exchange. Infosys' ADS constitutes 11.6% of its total outstanding shares.
Bangalore-based Infosys, the first Indian company to list on the Nasdaq in 1999, said it is also seeking to list its stock on the Paris and London exchanges of NYSE Euronext—a move that may be aimed to give it better recognition and brand recall among investors and potential clients in Europe, its largest market after the US.
NYSE Euronext's equities markets represent nearly 40 percent of the world's equities trading and are considered the most liquid of any global exchange group.
Infosys ADS will begin trading on the NYSE Euronext markets in the US under the ticker symbol 'INFY' on December 12, 2012. Until the transfer is complete, Infosys ADS will continue to trade on the NASDAQ.
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Once the separate Euronext listing process is complete, Infosys ADS will begin trading on the NYSE Euronext markets in Paris and London, a press statement from the company said.
"Shifting of the shares from Nasdaq to NYSE Euronext does not mean anything for an existing investor, but from the management perspective, it probably gives them more visibility in Europe, where they are looking to expand, especially in markets like France and Germany," said an analyst with a foreign brokerage who did not want to be identified as he is not authorised to speak to the media.
SD Shibulal, its CEO and MD, said the decision to transfer ADS—which were trading at $44.66 on the Nasdaq on Friday—was to "broaden the trading window available for global investors."
NYSE Euronext has tie-ups with exchanges in Europe, making stocks listed there more accessible to investors in Europe. ADS refer to the US dollar denominated share of any foreign company trading on an American stock exchange. Infosys' ADS constitutes 11.6% of its total outstanding shares.
Bangalore-based Infosys, the first Indian company to list on the Nasdaq in 1999, said it is also seeking to list its stock on the Paris and London exchanges of NYSE Euronext—a move that may be aimed to give it better recognition and brand recall among investors and potential clients in Europe, its largest market after the US.
NYSE Euronext's equities markets represent nearly 40 percent of the world's equities trading and are considered the most liquid of any global exchange group.
Infosys ADS will begin trading on the NYSE Euronext markets in the US under the ticker symbol 'INFY' on December 12, 2012. Until the transfer is complete, Infosys ADS will continue to trade on the NASDAQ.
(Check out our Facebook page for more market news)
Once the separate Euronext listing process is complete, Infosys ADS will begin trading on the NYSE Euronext markets in Paris and London, a press statement from the company said.
"Shifting of the shares from Nasdaq to NYSE Euronext does not mean anything for an existing investor, but from the management perspective, it probably gives them more visibility in Europe, where they are looking to expand, especially in markets like France and Germany," said an analyst with a foreign brokerage who did not want to be identified as he is not authorised to speak to the media.
Source:ET
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