Changes to IPO rules under discussion at Downing Street

The VC community has been lobbying for the reduction of the free float minimum to 10%, in line with Nasdaq requirements. But proposals have come up against opposition from institutional investors such as pension funds and insurance companies, wary of the possibility of increased market volatility and the weakening of minority shareholder votes.

While current requirements are dictated by EU guidelines, it is hoped that some leeway will be granted as it has been in the past.

The proposed reduction from 25% to 10% is understood to have the backing of senior political figures, as the government attempts to jump-start London's tech IPOs and put a halt to companies listing in the US. An announcement is expected in the coming weeks.

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• Topics
• UK / Ireland
• United Kingdom
• IPO
• LSE