Why do companies dual list?
Asked by: Savannah Hessel | Last update: April 20, 2025Score: 4.6/5 (28 votes)
A dual listing improves a company's share liquidity and its public profile because the shares trade on more than one market. A dual listing also enables a company to diversify its capital-raising activities, rather than being reliant only on its domestic market.
What are the benefits of dual listing?
Dual listing means companies can access a greater spread of investors, both institutional and retail. This can be especially beneficial for companies looking to raise capital, as they can access a more diverse pool of potential investors.
What happens when a company dual lists?
It refers to a company having two separate legal entities that list shares on two exchanges. This is often done when two firms, that already have listed shares, merge together. This is what happened in 2002 when the cruise operator Carnival acquired its British rival P&O Princess.
Why double listing?
Companies become listed on a second exchange in order to reach a broader-based public and attract additional investors. Because the fragmentation of share capital between different exchanges often results in diminished liquidity, companies usually undertake a capital increase in connection with a double listing.
What are the disadvantages of dual listing?
Besides the various layers of technicalities that are necessary for a dual listing, some drawbacks include the costs of the initial listing and the ongoing listing expenses. Companies must navigate differing regulatory, compliance, and accounting standards, often requiring additional specialized staff.
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Why are some companies listed on multiple exchanges?
Key Takeaways. A company can list its shares on more than one exchange, which is referred to as dual listing. In order to be listed, a stock must meet all of the exchange's listing requirements and pay for all associated fees. A company might list its shares on several exchanges to boost the stock's liquidity.
What are the advantages of dual pricing?
DUAL PRICING AND COST SAVINGS
A major benefit for merchants using a cash discount program is the reduction or elimination of card-processing fees. The money saved on processing fees can allow businesses to channel profits back into their operations. More money in your pocket is always a good thing.
Can a company legally list in more than one market?
When a company's shares are listed on more than one exchange, it is said to be dual listed. Dual listing allows a company to increase its access to capital and makes its shares more liquid.
How do you handle duplicate listings?
- Manually closing them on affected platforms, either via a form, a phone call, or an email. Each platform has its own method of supporting listing closure requests. ...
- Use an automated service like Moz Local to manage duplicate closure requests on major platforms.
What are the mechanics of dual listing?
A dual listing is the listing of any security on two or more exchanges. The main advantage of a dual listing is the access to additional capital and increased liquidity. A popular way for non-U.S. companies to dual list in the U.S. is by using ADRs, or American Depository Receipts.
What is the aim dual listing?
A dual listing on AIM provides UK-based investors with a simple and direct way to gain exposure to the helium market without the complexities of foreign exchanges.
What companies have dual listings?
- ABB (Sweden/Switzerland 1988) — ABB AB, ABB AG/S.A.
- Carnival Corporation & plc (Panama/UK 2003) — Carnival Corporation (NYSE), Carnival plc (London Stock Exchange, LSE)
- Perfetti Van Melle (Italy/Netherlands 2001) — Perfetti Van Melle S.p.A., Perfetti Van Melle N.V.
What are the disadvantages of cross-listing?
What Are the Disadvantages of Cross-Listing? A company that cross-lists may incur additional costs to meet the regulations and requirements of the exchanges and countries they wish to be listed on.
Can companies be listed on both NYSE and Nasdaq?
If a stock is dually listed on the NYSE and Nasdaq, it can be bought on one and sold on the other. If not dually listed, the transaction must be completed on the exchange listed.
What are the disadvantages of listing?
- high cost of listing and subsequent higher costs of compliance with specific regulation.
- uncertain timing of listing.
- burden of additional regulatory requirements and compliance with strict standards of corporate governance.
- loss of control over the company, which may eventually be taken over.
Why do companies have multiple stock symbols?
There are some companies that trade with two different symbols on the same stock market because they offer two classes of shares, one with voting rights and another without voting rights.
What does duplicate listing mean?
Listings will be considered duplicate if they appear to be the same product in search results, and have similar entries in title, description, details etc, even if photos used are different. Duplicates hinder buyers from finding what they want by causing unnecessary clutter to the marketplace.
How do you avoid duplicate work?
- Define the scope and goals.
- Assign roles and responsibilities.
- Use tools and systems.
- Communicate regularly and effectively.
- Review and revise.
- Learn and improve. Be the first to add your personal experience.
- Here's what else to consider.
Are duplicate listings allowed in MLS?
No more than three active listings are allowed in the MLS system per Parcel ID number. All duplicate listings must be cross referenced in the “Public Remarks” field with the additional MLS numbers, and each listing must be maintained concurrently.
What happens if everyone sells their stock in a company at the same time?
If everyone were to sell, there is no market in that stock (or other assets) anymore until sellers and buyers find a price they are willing to transact at. When a stock is falling it does not mean there are no buyers. The stock market works on the economic concepts of supply and demand.
How many companies can one person own?
Fortunately, no federal or state limits exist on the number of LLCs someone can own. However, aspiring business owners should know that other factors could prevent them from having ownership interest in multiple LLCs. Also, structuring multiple LLCs requires some strategic thought.
Is dual pricing illegal?
Dual pricing is legal in all 50 states but does have compliance requirements you need to follow. Failing to do so can result in credit card processors refusing to work with you, fines from local authorities or payment processors, and other penalties.
What are the advantages and disadvantages of dual sourcing?
Diversifying the supply chain through dual or multiple sourcing strategies is an effective means of strengthening resilience and reducing procurement risks. However, an increasing number of suppliers can also result in increased costs and more complex management processes.
What is the dual pricing method?
Dual pricing is a strategy for setting different prices for the same product or service in other markets or purchase conditions. For example, a company might charge a different price for online purchases than in-store prices or offer different rates for domestic versus international customers.