Ferrovial has already registered with the US market supervisor, the SEC, the document to begin trading on the Nasdaq of the New York Stock Exchange this quarter. The information sent is extensive and, as is the case with medication leaflets, it details all the risks in detail to avoid complaints among future investors.
One of them has to do with the change of headquarters from Spain to the Netherlands, which has already cost it a clash with the Government. The company warns investors that this operation “may have a negative impact on the brand in Spain” and damage its “competitive position” in the country, especially in relation to public works. The effects could be seen in the share price, operating results and business prospects, he warns.
“Our businesses largely depend on projects and orders from public administrations,” and the company’s options for winning contracts may decrease “in the face of the competitive position” of other companies, he explains. In any case, Ferrovial believes that the change of headquarters will give it access to a more international base of investors.
The company also warns that it has detected “material weaknesses” in its internal controls related to the dissemination of information. “If we cannot remedy them,” he says, “we may not be able to produce timely and accurate financial statements or comply with applicable laws and regulations.”
In assessing other risks, he alludes to a wide variety of political and economic uncertainties, including the “high polarization” of politics in the United States. Regarding Spain, he talks about the doubts surrounding the formation of the Government and the investiture pacts, as well as any eventual “resurgence of political and social tensions in Catalonia”
According to Ferrovial, the United States already represents 34.1% of its income, compared to 23.7% for Poland and 19% for Spain. The company participates, among other projects, in the construction of the new terminal 1 at JFK airport in New York and has several key highway concessions in the country.
Its intention is to start trading in the United States at the same price as in Spain and the Netherlands. Yesterday its shares rose 1%, up to 33.6 euros, reaching historical highs. Its capitalization is already around 25,000 million euros.
With the application to the SEC, Ferrovial begins the last step in the headquarters change plan announced almost a year ago. In June it moved its residence to Amsterdam, where it began to be listed simultaneously, with an eye on its subsequent jump to the New York Stock Exchange.
