Glencore may consider switching main listing to U.S., Deutsche Bank says (OTCMKTS:GLCNF)

Glencore (OTCPK:GLCNF) (OTCPK:GLNCY) may consider switching its primary listing from London to New York, Deutsche Bank analysts predicted Tuesday, in what would be the most high-profile exit from the U.K. exchange so far.

Glencore’s (OTCPK:GLCNF) (OTCPK:GLNCY) primary listing could come into focus following a lack of shareholder support for a previous plan to spin off its profitable coal business and list it separately in New York, the bank said.

Mutual fund data shows the U.S. market provides more support to companies involved in fossil fuels, with many in Europe excluding the sector from their portfolios, while U.S.-listed copper stocks trade at very large premiums to U.K. miners, the analysts said, according to Bloomberg.

About 48% of mutual funds in Europe exclude coal, compared with less than 1% in the U.S., Deutsche Bank said.

Last month, Activist investor Tribeca Investment Partners called on Glencore (OTCPK:GLCNF) (OTCPK:GLNCY) to shift its primary listing from London to Sydney and abandon the plan to spin off its coal business.