ASX Delisting Raises Questions for URW’s Australian Investors

Background and Rationale

Unibail-Rodamco-Westfield (URW), a major player in commercial real estate with a €50 billion portfolio, has announced its intention to voluntarily delist from the Australian Securities Exchange (ASX) by 27 August 2025. The decision follows a significant decline in the liquidity and volume of CHESS Depositary Interests (CDIs) traded on the ASX, which now represent just over 3% of the company’s total shares, down from approximately 24% at the time of listing in 2018.

URW cited the administrative and compliance burdens associated with maintaining the ASX listing as no longer justifiable given the low trading volumes and limited shareholder engagement through this channel. The company will continue to list its stapled shares on Euronext Paris, where liquidity remains robust.

Impact on Australian Investors

For Australian investors holding URW CDIs, the delisting means that trading on the ASX will cease after 25 August 2025. URW has outlined a clear timetable and multiple options for CDI holders to manage their investments. These include selling CDIs on the ASX before suspension, converting CDIs into shares traded on Euronext Paris on a 20 – 1 ratio, or participating in a voluntary sale facility where shares underlying CDIs can be sold on European markets with proceeds remitted in Australian or New Zealand dollars.

Should CDI holders not act before the deadlines, a compulsory sale facility will be triggered, whereby remaining shares will be sold on their behalf, with proceeds distributed accordingly. URW will cover brokerage fees for these sale facilities, but investors bear the market price, foreign exchange, and tax risks.

Broader Implications and Legal Considerations

The delisting does not affect URW’s debt securities listed on the ASX, which will remain unaffected. However, the move signals a strategic shift to consolidate liquidity and investor focus on European markets. The company’s Better Places sustainability plan and urban regeneration projects continue to underpin its long-term vision.

URW has also informed CDI holders of potential legal remedies under French and Dutch law should they oppose the delisting, though such actions would require individual legal counsel and bear associated costs.

Looking Ahead

As URW streamlines its shareholder base and reduces compliance overheads, the market will watch closely how Australian investors respond to the delisting and conversion options. The company’s continued presence on Euronext Paris ensures access to a deep and liquid market, but the transition period will require careful navigation by CDI holders to optimise outcomes.