- By JSE
Trading in shares of BHP Group Limited began today on the Johannesburg Stock Exchange (JSE) following the global mining giant’s decision to convert its dual public holdings into a single listing.
The unification resulted in the consolidation of two companies into a single entity, BHP Group Limited. BHP Group Limited has a primary listing on the Australian Stock Exchange (ASX), a secondary listing on the JSE, a standard listing on the London Stock Exchange (LSE) and an American Depository Stock (ADS) listing on the New York Stock Exchange. York. (NYSE).
According to BHP, the consolidation will provide a simpler corporate structure that will make BHP more agile, and an important strategic step to prepare BHP and its shareholders for the future.
“The unification will allow BHP Group to undertake certain operations such as demergers and capital increases more simply and efficiently thanks to the single shareholding of BHP Group. This will improve the flexibility of BHP Group to shape its portfolio, in the goal of maximizing long-term shareholder value,” the company said.
In addition, the unification will eliminate the share price differential that previously existed between BHP Plc and BHP Limited, whereby London shares generally traded at a lower price than Sydney shares.
Valdene Reddy, Head of Capital Markets at the JSE, praised BHP on the consolidation, adding that the company’s continued listing showed confidence in the quality of large JSE-listed companies and its commitment to giving South African investors access to a globally operating blue-chip mining company.
“It signifies the importance of the JSE’s deep market with highly liquid stocks that provide investors with global exposure. We wish BHP well on its growth journey,” Reddy said.