Investment Firm Challenges Proposal to Abandon London Listing
A prominent investment firm with significant stakes in Rio Tinto has criticized a recent proposal by activist investors urging the iron ore giant to relinquish its primary listing on the London Stock Exchange. This fund manager argues that such a move would primarily benefit bankers and consultants, rather than enhancing value for Australian shareholders.
WaveStone Capital, managing nearly $10 billion in assets and holding shares listed on the Australian market from Rio Tinto, strongly opposes recommendations put forth by British hedge fund Palliser Capital. The firm deems this push as “extremely misguided.”
In light of current market dynamics and shareholder interests, WaveStone emphasizes that maintaining a dual listing strategy is vital for preserving investor confidence and maximizing long-term gains within Australia’s resource sector.
