Latest news with #listing
Bloomberg
2 hours ago
- Business
- Bloomberg
PDD Analysts See HK Listing as More Likely After Auditor Change
PDD Holdings Inc. 's move to switch to a Hong Kong-based auditor may indicate the Chinese e-commerce firm is preparing to apply for a second listing there, according to two analysts. The parent company of budget shopping app Temu said in a filing on Wednesday that it has tapped Hong Kong-based auditors of Ernst & Young for a review of its financial statements this year. The firm previously worked with Beijing-based Ernst & Young Hua Ming LLP.
Yahoo
3 hours ago
- Business
- Yahoo
Wise's U.S. move proposals face fresh opposition from shareholder advisers
By Elizabeth Howcroft (Reuters) -A shareholder adviser group, Glass Lewis, expressed new concerns about UK-based money transfer company Wise's plans to change its primary listing to the U.S., just days before a shareholder meeting, and another adviser, PIRC, said that it opposed the plans. In a statement made public on Monday, Wise's second-biggest shareholder, Skaala Investments, urged other shareholders to vote against proposals to move the company's primary listing to the U.S. from London, because the plans also included an extension to its dual share structure, which it said was "buried" in the proposals. On Tuesday, shareholder adviser Glass Lewis updated its report in light of Skaala's statement, and added its own concerns about the proposed extension of the dual share structure, according to a copy of the report seen by Reuters. Glass Lewis said in its report that share structures with unequal voting rights are "typically not in the best interests of common shareholders" and that it was "concerned" by the structure being extended. But, it said, the governance issue alone was not enough for it to recommend voting against Wise's U.S. move proposal overall, which it still supported. "DISPROPORTIONATE POWER" Skaala had said that the changes to the shareholder structure would entrench "disproportionate power in the hands of a few", including Wise's CEO. A spokesperson for Wise said on Monday that shareholders were "overwhelmingly in favour" of the proposal and that its process was fair. Wise cited the backing of proxy advisors including ISS, Glass Lewis and PIRC, and said that the dual-class share structure is essential for the company's success. On Wednesday, a spokesperson for PIRC said that Wise's statement was incorrect, and that it had expressed its opposition to Wise's plans in a report on July 15. PIRC's report recommends voting against the proposals, on the grounds that the move "raises concerns about a reduced commitment to UK corporate governance standards." "UK listing regime offers strong shareholder protections, disclosure requirements, and board accountability. Relocating to jurisdictions with less stringent oversight may weaken these safeguards," said PIRC's report, which was seen by Reuters. A spokesperson for Wise said that the company only became aware of PIRC's opposition on Wednesday, and that it maintains that shareholders are still "overwhelmingly in favour" of the plans. ISS did not immediately respond to a request for comment. Shareholders are voting on the issue ahead of a meeting on Monday 28 July. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
3 hours ago
- Business
- Reuters
Wise's U.S. move proposals face fresh opposition from shareholder advisers
July 23 (Reuters) - A shareholder adviser group, Glass Lewis, expressed new concerns about UK-based money transfer company Wise's plans to change its primary listing to the U.S., just days before a shareholder meeting, and another adviser, PIRC, said that it opposed the plans. In a statement made public on Monday, Wise's (WISEa.L), opens new tab second-biggest shareholder, Skaala Investments, urged other shareholders to vote against proposals to move the company's primary listing to the U.S. from London, because the plans also included an extension to its dual share structure, which it said was "buried" in the proposals. On Tuesday, shareholder adviser Glass Lewis updated its report in light of Skaala's statement, and added its own concerns about the proposed extension of the dual share structure, according to a copy of the report seen by Reuters. Glass Lewis said in its report that share structures with unequal voting rights are "typically not in the best interests of common shareholders" and that it was "concerned" by the structure being extended. But, it said, the governance issue alone was not enough for it to recommend voting against Wise's U.S. move proposal overall, which it still supported. Skaala had said that the changes to the shareholder structure would entrench "disproportionate power in the hands of a few", including Wise's CEO. A spokesperson for Wise said on Monday that shareholders were "overwhelmingly in favour" of the proposal and that its process was fair. Wise cited the backing of proxy advisors including ISS, Glass Lewis and PIRC, and said that the dual-class share structure is essential for the company's success. On Wednesday, a spokesperson for PIRC said that Wise's statement was incorrect, and that it had expressed its opposition to Wise's plans in a report on July 15. PIRC's report recommends voting against the proposals, on the grounds that the move "raises concerns about a reduced commitment to UK corporate governance standards." "UK listing regime offers strong shareholder protections, disclosure requirements, and board accountability. Relocating to jurisdictions with less stringent oversight may weaken these safeguards," said PIRC's report, which was seen by Reuters. A spokesperson for Wise said that the company only became aware of PIRC's opposition on Wednesday, and that it maintains that shareholders are still "overwhelmingly in favour" of the plans. ISS did not immediately respond to a request for comment. Shareholders are voting on the issue ahead of a meeting on Monday 28 July.
Bloomberg
11 hours ago
- Business
- Bloomberg
Wise Faces Fresh Scrutiny From Proxy Adviser Over Move to US
Wise Plc is facing additional scrutiny over its decision to shift its primary listing to the US from proxy advisory firm Glass Lewis & Co. just days after the fintech giant's co-founder publicly criticized the move. While Glass Lewis continues to support the company's overall proposal, it is concerned that the vote on July 28 to approve the plan also requires shareholders to approve extending the dual-class shareholder structure that was introduced during the company's 2021 direct listing, according to an updated report from the advisory firm. If the company stayed in the UK, that structure was due to be sunsetted next year.
Yahoo
a day ago
- Business
- Yahoo
Fintech champion's founders split over plan to abandon Britain for US
Kristo Käärmann (left) and Taavet Hinrikus founded Wise together in 2010 - Levon Biss/The Forbes Collection The founders of the £11bn UK fintech champion Wise have clashed over an attempt to shift its main listing to the US. In a letter to shareholders, Taavet Hinrikus, who co-founded Wise with chief executive Kristo Käärmann in 2010, warned he was 'deeply troubled' by the proposals, which he claimed would concentrate power among a handful of company insiders. Mr Hinrikus claimed directors had 'buried' a bid to increase their influence over the company in proposals that shareholders will vote on this week. As well as agreeing to move Wise's primary listing from London to New York, the voting documents ask shareholders to agree to a 10-year extension to super-voting shares held by early investors, including Mr Käärmann. These shares had been scheduled to expire in July 2026 and ensure outsized control for a few insiders, granting them 90pc of the voting rights. 'A dangerous precedent' Mr Hinrikus, who holds a £550m stake in Wise and was chief executive of the company until 2017, claimed it was 'entirely inappropriate and unfair' to combine the two issues in one vote and a 'contravention of shareholder democracy'. The letter, which was sent by Mr Hinrikus's Skaala Investments, said it was not 'in principle' opposed to the US listing, but urged shareholders to vote against the current scheme. It said: 'Entrenching disproportionate power in the hands of a few sets a dangerous precedent – one that contradicts the values on which Wise built its public credibility.' The intervention has unearthed a rift between the two Wise founders, who launched the payments business 15 years ago after meeting at a party and bonding over their shared troubles of sending money home to their native Estonia. In response to the letter, Mr Käärmann said Mr Hinrikus 'no longer plays an active role in Wise' and has been 'pursuing his own interests' since 2021. He said the shareholding structure 'helps us build a sustainable and profitable business for the long term'. Mr Hinrikus led Wise from 2010 until 2017 before becoming chairman. He stepped down from the company in 2021, although he still holds 15pc of the business's super-voting shares. He has since emerged as one of Britain's leading start-up investors, backing dozens of businesses across Europe. The entrepreneur was an outspoken critic of Brexit and said leaving the EU had made it harder to set up a financial company in London. Dual-share structure The board of Wise said it was 'disappointed' by Mr Hinrikus's letter. It added he had endorsed its current dual share structure when Wise went public in London in 2021.
