Ferguson opts for additional U.S. listing as lockdowns begin to hurt

(Reuters) – Plumbing parts distributor Ferguson will seek shareholder approval for an additional share listing in the U.S. once stock markets calm, it said on Wednesday, as it took steps to reduce spending on share buybacks, dividends and staffing in the face of the coronavirus crisis.

The London-listed firm had said previously that it was considering either a primary or additional listing in the United States, by far its biggest market by revenue. It said it was now clear shareholders were unlikely to grant the necessary backing for an outright move to the U.S. stock market.

The company, which is on track to demerge its UK business this year, also said a majority of its U.S. branches remained open but that revenue had weakened since the end of March and that the coronavirus had a significant impact on its operations in hard-hit cities in the United States in the last 10 days.

(Reporting by Yadarisa Shabong in Bengaluru; editing by Patrick Graham)