Mining giant Glencore has scrapped proposals to move its main stock market listing away from London, but warned over job cuts as part of efforts to slash costs by about 1.0 billion US dollars (£753 million).
The Swiss miner, which is one of the biggest stocks on the FTSE 100, revealed in February that it was mooting switching its primary listing to New York.
It said on unveiling half-year results that moving its primary listing away from London would not deliver better value to shareholders in a welcome reprieve for the London Stock Market.
In a presentation alongside results, Glencore said: “Of the major global equity exchanges, the scale and depth of US capital markets is unrivalled but, having considered the costs and benefits, including in respect of indexation, we do not believe that becoming a US domestic issuer… would be value accretive for shareholders at this point in time.”
It added: “We will continue to monitor market developments and keep this topic under review.”
In a blow to its 150,000 workers globally, Glencore said it was targeting cost cuts of about 1.0 billion dollars (£753 million) by the end of 2026, of which more than half will be completed by the end of the year, following a review.
It said savings would come from cutting its workforce as it streamlines its operations across “energy, consumables, contractors, maintenance and administrative functions”.
The cost-cutting drive came as Glencore posted a 14% drop in underlying earnings to 5.43 billion dollars (£4.09 billion).
Net losses nearly trebled to 655 million dollars (£493 million) from 233 million dollars (£175 million) a year ago.
The FTSE 100 firm’s primary listing is currently in London, although it is also listed on the Johannesburg Stock Exchange.
It listed in London 14 years ago in a blockbuster flotation.