The New York Stock Exchange is actively engaged with a pipeline of Japanese companies, some of which may consider a U.S. listing over the next 18 months, according to the bourse’s vice chairman.
Some of these companies are in the technology and health-care sectors, Vice Chairman John Tuttle said in an interview in Tokyo. They are at different stages of growth, and some are "quite sizable” and expanding quickly, he said, without providing further details.
Global funds have turned optimistic on Japanese stocks over the past year, on expectation shareholder returns will improve. A weaker yen also helped boost exporter shares, though that has shaved off dollar-based returns. Even with the booming market, Japanese startups have been turning to the United States where institutional investors are more willing to bet on innovative technologies.
While Japan’s local markets can meet companies’ needs for capital, the U.S. is attracting "those companies that want access to the broadest pool of institutional investors, those that want that U.S.-dollar denominated share currency,” he said.
It’s not just Japanese companies looking to list in the U.S., Tuttle said. There are "exciting companies” from South Korea, Indonesia and Singapore from across various sectors, he said.