City AM: London-based Marex files for New York IPO in huge blow to the City

08 December 2023

London-based commodities broker Marex has filed for an IPO in New York in a huge blow to the City ...Marex confirmed today it has submitted a filing to the US SEC for an IPO next year, meaning one of London’s top private financial services firms will opt to list its shares across the Atlantic.

“The size and price range for the proposed offering have not yet been determined,” the firm said today.

“The initial public offering is expected to commence after the completion of the SEC review process, subject to market and other conditions.”

The targeted valuation is set to be between $2.2bn and $2.8bn, around three to four times more than its previous goal when Marex attempted to list on the London Stock Exchange in 2021, sources familiar with the matter told the Financial Times

Marex’s IPO had been hotly contested after it was forced to shelve its float in London in 2021 due to volatility in the markets.

As a London-headquartered firm, the decision to float across the Atlantic will strike a huge blow to the Square Mile and regulators amid a drop-off in listings this year. The London Stock Exchange and City grandees have been hit by a steady stream of firms heading towards New York, including the chipmaker Arm earlier this year.

Companies have taken aim at a lack of liquidity in the Capital and lacklustre valuations. The reported $2.2bn target price tag in New York will raise fresh questions over the health of London’s capital markets, despite London Stock Exchange Group chief David Schwimmer saying the valuation gap was a “myth” last month.

A record set of results for London-based commodities broker Marex revived the prospect of an initial public offering (IPO) for the firm earlier this year – but bosses then said they may be eyeing New York as the destination.

City AM


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