Ocado shareholders call for switch to New York stock market
It is thought that Ocado bosses could be tempted to consider the request in a bid to shed its reputation as an online grocer in favour of being recognised as a tech company
Ocado is reportedly facing pressure from shareholders to abandon the London stock exchange in favour of the New York market, according to The Telegraph.
The outlet said that in recent weeks investors including a fund manager, have told management they would like to see the possibility of a listing in the US explored.
The report comes as Ocado’s share price has plunged by almost 90% from a high of £28 during the pandemic to £3.60p at the time of writing.
It is thought that Ocado bosses could be tempted to consider the request in a bid to shed its reputation as an online grocer in favour of being recognised as a tech company.
A number of UK-listed firms have decided or are currently considering the Mid-Atlantic switch reportedly fuelled by bosses believing their firms will fetch higher valuations.
Last month, Ocado revealed its sales increased 10.6% to £645.3m in the 13 weeks to 3 March 2024, up from £583.7m the previous year.
It comes as the online supermarket said active shopper numbers for the group rose 6.4% to one million as average orders per week of 414,000 grew 8.4% compared with Q1 2023.
Volumes increased by 8.1% to £242.1m with the average basket value also increasing by 2.1% to £125.4m.
As a result, Ocado has maintained its FY23 guidance issued on 29 February which reported a revenue growth percentage of mid-high single digits and an EBITDA margin of 2.5%.
