On Monday (September 25), London Stock Exchange CEO Julia Hoggett warned that British companies are at risk of listing in the United States.
Speaking at the Cities and Finance conference in London on Monday, Mr Hoguet said that of the 23 UK companies that raised more than $100m in the US over the past decade, six had delisted, 13 were trading below their issue price and of the four that were trading above their issue price, one of them was recently listed chip designer Arm.
"This is not just happening with UK companies listing in the US," says Mr Hoguet. It is well known that international companies often underperform their domestic peers in the US, but this is not the case when they list in the UK."
Earlier this month, Arm debuted on Nasdaq at $51 a share in the largest U.S. initial public offering (IPO) this year. Arm jumped nearly 25% on its first day of trading, but shares have fallen since then and were up more than 6% from their offering price as of Monday's close.
As a subsidiary of SoftBank Group, Arm is an important player in the global semiconductor industry, known as the "crown jewel", the Arm architecture designed by it is known for energy saving, and occupies more than 90% of the global market share in the field of smart phone chips.
The British government had been pushing for Arm to list on the London Stock Exchange, but Arm's decision to list on Nasdaq further highlights the UK's declining appeal to capital markets.
Since Brexit in 2016, London's position as a world financial center has been weakened.
After leaving the EU, the UK's trade growth is the lowest in the G7. A poll published in July showed a record number of Britons thought Brexit was the wrong decision, with more than half wanting to rejoin the EU.