Glencore Abandons New York Listing Plans, Commits to London Amid $1B Cost Cuts

Glencore Plc has decided against relocating its primary stock market listing from London to New York, reaffirming its commitment to the London Stock Exchange despite ongoing financial challenges and pressure from falling coal prices and reduced production. CEO Gary Nagle cited concerns over eligibility for the S&P 500 and the potential negative impact on shareholder value as key reasons for maintaining the London listing, even as the company's shares have declined by roughly 18-20% over the past year. The company reported a net loss of $655 million in the first half of 2025, significantly worse than the previous year, driven by lower coal prices, copper production issues, and uncertainties linked to President Donald Trump’s trade war. To counter these challenges, Glencore has launched a $1 billion cost-cutting program, including staff reductions and operational consolidations, with a focus on industrial assets and increased copper output to improve profitability in the second half of the year. Despite the decision to stay in London, the company acknowledged that it will continue to monitor market conditions and keep the option of relocating under review. Analysts highlight that while the initial appeal of moving to the US was based on access to less ESG-focused investors and potentially higher valuations, the risks and costs associated with the move, combined with uncertain index inclusion, ultimately outweighed the benefits.