PLSA response to FCA proposal to create a new premium listing category for sovereign controlled companies

Our submission to the FCA consultation on the new premium listing category for sovereign-owned companies outlines investor concerns about the FCA’s proposals.

The draft changes would reduce the expectations on companies where a sovereign state is the controlling shareholders to maintain important disclosures and key protections for minority shareholders.

The need for these changes from the perspective of investors – the constituency who stock market rules are supposed to serve – is unclear. We hope that the FCA will rethink the new listing category and consider ways of facilitating the listing of sovereign-owned companies without compromising the UK’s hard-earned reputation for high governance standards.