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There\u2019s no disputing Shell\u2019s stature compared to other British, or even European, stocks.\u00a0<\/p>\n
By most measures\u2014whether that\u2019s the FTSE 100 companies ranked by market cap, or the Fortune<\/em> 500 Europe<\/a> list that looks at company revenues\u2014the $231 billion-worth oil and gas giant is a leader.\u00a0<\/p>\n It\u2019s been critical to keeping London in the game as a hub for big business<\/a>, even as the British capital city has witnessed an exodus of companies<\/a> picking listings in New York over the London Stock Exchange.<\/p>\n But that could change.\u00a0<\/p>\n Shell is looking at \u201call options\u201d that could help bolster its valuation, including moving its listing from London to New York.\u00a0<\/p>\n \u201cIf we work through the sprint, and we are doing what we are doing, and we still don\u2019t see that the gap is closing, we have to look at all options,\u201d Shell CEO Wael Sawan told Bloomberg Opinion<\/a>, referring to the \u201csprint\u201d period through 2025 aimed at boosting shareholders returns.<\/p>\n He conceded that Shell\u2019s London listing was \u201cundervalued,\u201d as he explained why its valuations were lower than competitors like ExxonMobil, according to the column.\u00a0\u00a0<\/p>\n A Shell spokesperson told Fortune <\/em>that Sawan made similar comments since last year<\/a> during the company\u2019s Capital Markets Day. At the time, he spoke about revamping the company by simplifying it, creating more value with fewer emissions, reducing costs and more.\u00a0\u00a0\u00a0<\/p>\n The company will wait till next year to mull over its options regarding shifting its listing.<\/p>\n Sawan\u2019s strategy to exit underperforming segments has resulted in him axing some clean energy investments<\/a>. While the move has invited criticism, Shell says it\u2019s still on track to achieve net-zero emissions by 2050. Investors have also been happy with it, as the U.K.-listed company\u2019s shares have been trading at record highs<\/a>.<\/p>\n With British companies looking for greener pastures in the U.S., top chiefs flagging low pay and public listings feeling tedious, post-Brexit U.K. has seen more discouraging news in the business realm than it hoped for. If Shell decides to wind up its London listing, it\u2019ll be the biggest in the string of blows the city has faced as it\u2019ll lose its biggest FTSE 100 company. But that\u2019s not all\u2014Shell has also paid significant dividends to its shareholders, who\u2019ll miss out if the company shifts to America.\u00a0<\/p>\n In 2023, Shell raked in a $28 billion profit<\/a> and paid shareholders a total of $23 billion. It also boosted its fourth-quarter dividends by 4%.\u00a0\u00a0<\/p>\n To be sure, Sawan has voiced his skepticism about staying wedded to the U.K. in the past.\u00a0<\/p>\n Although the energy major has deep ties with the country going back over 100 years, murky energy policy and tax hurdles have made its appeal lessen in recent times.\u00a0<\/p>\n On the other hand, Shell has been welcomed in the States, where Sawan saw more support, he said in a July interview with the BBC<\/em><\/a>.\u00a0\u00a0<\/em><\/p>\n \u201cThere are many who question whether that valuation gap can only be bridged if we move to the U.S.,\u201d Sawan said, adding that he wouldn\u2019t rule out the option after 2025.\u00a0<\/p>\n \u201cUltimately, I am in the service of shareholder value,\u201d he said.<\/p>\n<\/div>\nSubscribe to the new Fortune CEO Weekly Europe newsletter to get corner office insights on the biggest business stories in Europe. Sign up<\/a> for free.<\/div>\n