London Stock Exchange CEO: "We will allow trading in shares of private companies"

“For London, it has been a dramatic year for the stock exchange,” said Julia Hoggett, CEO of the London Stock Exchange, at the Mind the Tech London 2025 conference organized by Calcalist and Bank Leumi. “We have changed our listing rules to maximize eligibility for companies going public,” Hoggett explained in an interview with Calcalist journalist Yarden Rozanski.

“We are accelerating the inclusion of companies in the FTSE index, and we have also allowed companies that report in euros and dollars to enter the index. This provides strategic flexibility for companies. In addition, we have seen a meaningful reform in our retail market. Europe had a retail policy that diluted companies, and we are eliminating it. We will also introduce changes next year that will allow companies to better tell their stories about where they are heading.”

Hoggett emphasized: “Our commitment is to be the most international stock exchange in the world, which is why we include international companies in our stock indices, unlike U.S. indices. In London, there is an opportunity to reach investors in the European market without being bound by the EU’s additional requirements, which often create legal risks. We bring together those who have capital and those seeking capital, regardless of where they are in the world.”

She also revealed that the LSE is preparing to launch a new platform for trading in private company shares on the secondary market. “It’s a secure trading system based on the belief that the hardest thing for a founder is to come up with a good idea and implement it, not to raise money,” Hoggett said.

“The conventional wisdom has long held that public and private markets must remain separate, and therefore stock exchanges cannot allow trading in private company shares. But in the UK, we believe the market itself is the best way to democratize trading. This will enable private companies to offer secondary share options in a transparent way, while also allowing institutional investors and pension funds to enter at an earlier stage.”

Hoggett added that the platform could also help capital-intensive companies support employees in exercising their options, thereby improving talent retention. “Too often, companies make decisions based on capital liquidity rather than their expertise or product. We want to give companies in the UK and beyond freedom from those constraints. We received a license to operate this market in August and have strong support.”

On IPO activity, Hoggett reflected on recent global trends: “If you think about 2021, a record year globally, including in the UK, with a relatively high number of offerings, it was driven by a desire to realize the value created in the wake of the coronavirus pandemic.”

“Since then, however, rising interest rates and escalating geopolitical tensions have caused a drop in valuations and delayed IPOs for many companies. Now we are seeing investors reassessing portfolios and preparing companies for public listings. In the second half of 2025, we expect a shift in momentum. Companies in the UK, Europe, Israel, the Middle East and Asia are all preparing to go public.”

Hoggett highlighted that follow-on offerings remain a major strength of the London market. “Many people focus on IPOs, but an IPO is just a one-off event in a company’s life. What I am most proud of is the amount of additional capital raised in London. A lot of companies that list here return for further funding,” she said.

Watch the full exchange in the video above.