Official leaves exchange after seven months

The person hired by the Irish Stock Exchange to promote Irish companies listing on the exchange has left the position after seven months.

Leslie Williams has joined the Dublin-based investment firm Investec. Ms Williams said she “left the ISE because an opportunity came up with Investec”.

Before joining the ISE, she was head of institutional equities at Goodbody Stockbrokers.

Even though Ms Williams left the ISE on good terms, it will still come as a blow to the Dublin market, which has seen a number of high-profile defections over the past few years.

The building firm Grafton is the latest Irish plc looking at leaving the ISE to opt for a listing in London.

Over the past few years some of the biggest Irish companies have delisted from the ISE in favour of the London Stock Exchange.

These include United Drug, DCC, Greencore, and ICON, while CRH also moved its primary listing to London.

One Dublin-based investment manager, who did not want to be named, said small regional markets such as Dublin are finding it increasingly hard to compete as the financial services sector becomes more globalised.

“If you are an Irish company and you can get included in the FTSE 250, then it opens you up to a whole new world of passive investment managers who only buy indices.

“That in itself cuts back a huge amount in investor relations,” said the investment manager.

Moreover, bigger markets such as London also have a much deeper pool of liquidity.

A spokesperson for the ISE said the exchange will be able to compete in the future. “The small number of companies that have chosen to delist have done so for very specific reasons, a key factor being the UK centricity of their business.

“We are confident, having talked to our listed companies, that those reasons do not apply to the vast majority of Irish companies, and many CEOs have confirmed their commitment to the Irish market and what it delivers — namely a globally connected, internationally accessible highly liquid marketplace.

“Evidence shows that Irish-listed companies have one of the most diversified and international shareholder bases in Europe.

“Global investors who want to buy Irish equities can do so easily and cheaply on the ISE,” added the spokesperson.

Even though there have been a number of defections from the ISE over the past few years, this trend could be reversed over the near to medium term.

Green REIT was the first property investment trust to list on the Irish Stock Exchange in July. It is believed that both Kennedy Wilson and the Irish Property Unit Trust are also considering a possible listing on the Irish market. Both companies declined to comment.

Market sources suggest that Uiphar could also be looking at a listing on the Irish market.