Primary listing
The Main Market offers companies the choice between a primary listing and a secondary listing.
A primary listing requires a company to meet the highest standards of regulation and disclosure in Europe; it is not necessarily that company’s first or sole listing.
A primary listing means the company is expected to meet the UK’s gold standard – described as super-equivalent to the EU directives and implemented as part of the Financial Services Action Plan - and as a consequence may enjoy a lower cost of capital through greater investor involvement. A company which is already listed in its home jurisdiction may choose a primary listing in the UK without relinquishing its home listing.
Only ordinary shares can be primary listed (debt and Depositary receipts (DRs) cannot).
Modified rules
Some companies seeking a primary listing have business models that make it difficult to demonstrate compliance with the normal eligibility requirements in terms of track record and controlling interest. To help these companies, the UKLA has created modified rules for 'scientific research based companies' and 'mineral companies'.
Listing Categories
The FSA assigns an listing category to all securities admitted to the Official List – i.e. primary or secondary. Please click here to access a list of all Main Market securities with details of the relevant listing category or please click here to access FSA's Official List.
FTSE UK Index Series
Primary listed Main Market companies are potentially eligible for the FTSE UK Index Series, including the well-known FTSE 100 Index - one of the most widely recognised in the world.
Inclusion in the FTSE UK Index Series is determined by FTSE according to published ground rules. The FTSE UK Index Series is open to eligible primary listed Main Market companies. Secondary listed companies and DRs are not eligible for inclusion in the FTSE UK Index Series.
For further information on the FTSE UK Index Series and the associated ground rules, please visit www.ftse.com
For a list of companies incorporated outside the UK which are included in the FTSE UK Index Series, please click here.
Secondary listing
A secondary listing allows issuers to access the Main Market while meeting EU harmonised standards as opposed to the full ‘super-equivalent’ requirements.
Equity and DRs can be secondary listed, although this option is not available to UK incorporated companies.
A secondary listing does not automatically mean a company’s second listing, rather it signifies that the company has chosen to meet EU harmonised standards as opposed to the UK super-equivalent standards required by a primary listing.
Secondary listings (equity & depositary receipts) are typically only offered to professional investors.
The secondary listing route is also suitable for companies wishing to ‘passport’ their prospectus into the UK. Click here for more information on ‘passporting’.