General Motors plans to shift its market listing from the New York Stock Exchange to the Nasdaq, as it accelerates its development of autonomous vehicles and AI-powered manufacturing. The transfer further cements Nasdaq as the destination exchange for tech-focused companies, after it also won the IPOs of Anthropic and Space X this year.
The Detroit-based auto giant last week outlined plans to produce a new generation of electric and "software-defined" vehicles using large data sets and machine learning to speed up development cycles. "GM's customer-focused, technology-driven strategy is creating value for our stockholders, making Nasdaq a natural home for our listing as we grow," said Paul Jacobson, the company's chief financial officer. GM expects to trade on the NYSE until the market close on November 16 and to begin trading on the Nasdaq under the same symbol the following day.
Sterling Anderson, a Tesla veteran recruited by chief executive Mary Barra last year to oversee GM's tech push, told the FT that the autonomous vehicles being developed would help the company leapfrog global rivals, including from China. He is leading efforts to cut the product development cycle, currently four to five years, in half. Software subscription sales are also becoming more important: GM reported more than $800mn in third-quarter revenue from its OnStar subscription service, up 15 per cent, and a 60 per cent year-on-year rise in revenue from its Super Cruise driver-assistance programme.
The move deals a further blow to the prestige of the NYSE, which has ceded market share to Nasdaq and new exchanges in Texas. Walmart last year became the largest company by market capitalisation to switch its listing from the NYSE to the Nasdaq. GM, which first listed on the NYSE and re-listed in 2010 after bankruptcy, has a market cap of $64bn, compared with Tesla's $1.55tn. GM shares rose 4 per cent in early trading.
Source: Financial Times Companies · Summarized by HeadlinesBriefing