Some shareholders had questioned whether the company’s UK listing was “optimal and advantageous,” according to the holiday behemoth.
The decision would be another blow to London’s desirability as a base for large corporations, with numerous electing to list on foreign markets in recent years.
TUI said it was thinking about bringing the proposition to a vote among shareholders next year.
The company, which has been listed on the London Stock Exchange since 2014, also has a secondary listing in Frankfurt.
At the group’s annual general meeting in February, executives stated they would examine a “upgrade” to list on Germany’s primary stock exchange, but that delisting from London would require the support of at least 75% of shareholders.
CEO Sebastian Ebel stated that the announcement had “no political background,” implying that any prospective de-listing would not be related to Brexit, and that the British travel market remained the “most important.”
However, such a move would exacerbate concerns about London’s capacity to recruit large corporations, especially after Britain’s largest chipmaker, Arm Holdings, floated its shares in New York earlier this year. CRH Building Supplies and Ferguson Plumbing Equipment have likewise relocated their listings to the United States.
Is the London stock exchange losing its luster?
According to its website, Tui Group has a market worth of £3.2 billion and owns 400 hotels, 16 cruise ships, five airlines with 130 flights, and 1,200 travel agencies.
Following changes and mergers within the group, the company stated in its full-year results that it was considering whether streamlining its listing structure would benefit the firm.
It went on to say that there had been “a notable liquidity migration” from the UK to German stock markets in the previous four years, and that this may “potentially enhance” the profile of Tui’s shares.
