Stocks of Metlen experience a rise during its £5bn initial public offering in London
Metlen Energy and Metals Makes London Debut Amidst Expansion Plans
Metlen Energy and Metals, a leading player in the energy and metals sector, has made a significant move by shifting its primary listing from Athens to the London Stock Exchange. This decision comes as the company continues to expand its operations, particularly in Britain, where over 10% of its €5.6bn turnover now originates.
The move to London was motivated by the city's continued dominance in the financial markets. Metlen's listing could be the second fresh listing in a series of new commodities constituents in London, following Valterra's joining in June.
Despite the ongoing tariffs imposed by the US, Metlen continues to export aluminium unabated. The US is a major importer of aluminium, and the tariffs do not seem to have a direct impact on the company. However, the lack of a domestic aluminium market in the US means American consumers will be worst affected by the tariffs.
Metlen's longstanding boss, Mr. Mytilineos, has agreed to split his roles as chair and CEO to conform with LSE rules, but has not confirmed which role he will surrender. The firm's primary listing move could see it form part of the FTSE 100 as soon as September.
In addition to its aluminium operations, Metlen is overseeing the construction of four gas-fired electricity plants. The company recently completed a major solar farm in Kent earlier this year.
While Metlen Energy and Metals is not explicitly linked to the £2.5bn east coast subsea electricity cable project in Scotland, the company is one of the biggest members of the consortium behind a large-scale electricity grid expansion in the UK. The subsea cable project involves over 190 km of cabling to transport green electricity along the south-east of Scotland's coast.
Metlen's rebranding from Mytilineos Energy and Metals was prompted by investment bankers who suggested the name was too difficult to pronounce. The firm's shares opened at €48 (4180p) on their first morning as a London Stock Exchange constituent. Shares in the €6bn firm rallied by as much as 3.9 per cent during the morning.
Meanwhile, Uzbek gold miner Navoi Mining is planning a £4bn London IPO in 2025, having previously carried out a £750m bond issuance on the LSE. Navoi Mining's decision to list in London follows the success of Metlen's transition, demonstrating the city's continued appeal for international companies.
The City of London never lost its supremacy in the financial markets despite Brexit and attempts by other cities to take a significant portion of its business. The city's resilience and attractiveness to international companies like Metlen and Navoi Mining ensure its continued dominance in the global financial landscape.
- Metlen Energy and Metals, amidst its expansion plans, opted for the London Stock Exchange due to the city's established dominance in technology and finance industries, with the potential of being listed on the FTSE 100.
- The continued appeal of London extends beyond Metlen, as Uzbek gold miner Navoi Mining plans a £4bn IPO in 2025, following the successful transition of Metlen, demonstrating the city's ongoing attractiveness for international companies in diverse sectors such as energy and mining.
