Six-billion-dollar global asset manager, Janus Henderson, has announced plans to de-list from the ASX on December 6.
The decision follows a notable decline in the company's shares traded on the ASX to just 5.5% of its issued capital. This figure marks a significant drop from 44% in January 2018 and 12% in October 2022.
Janus Henderson CEO, Ali Dibadj, revealed the decision alongside the release of the company's third-quarter results.
The firm considers that the advantages of maintaining its ASX listing no longer justify the financial and administrative costs and compliance obligations involved. Consequently, the ASX-listed chess depository interests (CDIs) in Janus Henderson will be suspended on December 4.
ASX shareholders will have the opportunity to convert their holdings to NYSE shares in Janus Henderson, or sell via the NYSE from December 13 to February 12. Shares not sold or converted during this period will undergo a compulsory sale process starting February 13.
Janus Henderson anticipates that the ASX will likely approve the delisting, following initial discussions with the market operator.
The company’s third-quarter results, meanwhile, were deemed positive by Citi analyst Nigel Pittaway. Despite outflows of US$2.6 billion ($4.1 billion) in the quarter, figures were below the projected US$3.5 billion to US$5 billion. Additionally, management fee margins saw a slight increase from 48.5 basis points to 48.7 basis points.
“Slightly more disappointingly, investment performance on a three-year basis is now down to just 58% outperforming benchmark, although this was impacted by COVID, and it is much better on longer time horizons.”
The company also advises that it intends to buy back US$150 million worth of shares.