A company may choose to cross-border list to boost
its status as a truly global player, raise debt or equity, increase
trading volume, improve shareholder relations, enhance its visibility
among overseas investors and consumers, tap into retail and
institutional funds and benefit from changing global attitudes toward
By listing on a European Stock Exchange a
company can enhance its global status. Cross-border listing can attract
media interest in the host country, thereby improving brand awareness
and corporate image. This can be a valuable asset for companies in the
consumer products sector and other groups that depend on product or
service recognition and visibility, possibly leading to spillover
benefits for product or service-market sales.
diversification of a company's shareholder base spreads their financial
risk in the same way that diversifying a portfolio can spread
investment risk. This can alter the volatility and liquidity levels of
a stock. For most companies this is a positive development.
Institutional Interest : Most European fund managers consider the
following factors most important: the company's fundamentals, the
quality, skill and accessibility of management, leadership position in
the market, the scope and scale of the competition, and the stock's
liquidity, particularly for small and mid-cap stocks.