AstraZeneca has announced that it will list directly on the New York Stock Exchange, in a move that has been described as a "knock-back for London".

The Cambridge-based pharmaceutical firm said it plans to "harmonise its share listing structure" to deliver a global listing for global investors in a global company.

Following implementation of its harmonised listing structure, shareholders will be able to trade their ordinary shares in AstraZeneca across the London Stock Exchange, New York Stock Exchange and Nasdaq Stockholm.

However, the firm will not change its current status as a UK listed, headquartered and tax resident company. As a result, it will continue to be included in the FTSE 100 index.

Chair at AstraZeneca, Michel Demaré, stated: "Today we set out our proposed harmonised listing structure which will support our long-term strategy for sustainable growth, while remaining headquartered in the UK and listed in London, Stockholm and New York.

"Enabling a global listing structure will allow us to reach a broader mix of global investors and will make it even more attractive for all our shareholders to have the opportunity to participate in AstraZeneca's exciting future."

Investor content strategist at Saxo Bank, Neil Wilson, said that while the move has been described as "simplification" to AstraZeneca’s listing structure and will improve liquidity, it is a "knock-back for London".

Investment director at AJ Bell, Russ Mould, added that while there is no suggestion that AstraZeneca is imminently going to remove its London listing, there has been "some nervousness" around the risk that the UK might lose one of its largest constituents.

He concluded: "While there is logic to shifting to a direct listing in the US rather than American Depositary Receipts beyond setting up for any longer-term moves, it does at least hint at the possibility of a more dramatic shift at some point in the future.

"Big investors could well end up asking questions about AstraZeneca’s ultimate intentions ahead of a vote on the change later this year."

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