In a move aimed at increasing its shareholder base in UK, the NASDAQ listed Virgin Media has made its debut on the London Stock Exchange (LSE) today as the cable company's fortunes appear to be brighter.
Virgin Media incidentally has a very strong presence in UK and it competes with BT, Carphone Warehouse and the BSkyB group across numerous verticals including Pay TV, broadband and telephony.
It is interesting to note that while Virgin Media has decided to go in for a secondary listing on the LSE, it however does not have any apparent plans to issue any new equity.
Expressing his satisfaction at the secondary listing, Virgin Media Chief Exec Neil Berkett told journalists that the "secondary listing represents an important step in broadening investor access to Virgin Media shares. Our London secondary listing will provide investors with an additional means of trading the shares, and will further enhance the profile of our business in the U.K. and Europe."
Of late, Virgin Media has been aggressively pushing its broadband offerings and the company plans to increase in presence in UK at a quick rate.
Analysts point out that a secondary listing on the LSE with help the company increase its overall profile in Britain and will also help it in improving its brand recognition.
Virgin Media's share price in the US has been on the rise since the beginning of the year showing that 2009 has been a great year for the telecommunications company. In the UK, it already has a 50mbps service available, faster than the competition. Virgin media is already mulling plans for a 200mbps over the next few years.
(The Wall Street Journal)