The founder of Octopus Energy has declared that choosing London for the blockbuster stock market debut of its tech platform Kraken would be an obvious decision, but only if the capital flowing out of the UK market dramatically reverses.
The London vs New York Tug-of-War
In a significant signal of intent, Greg Jackson told City AM that he would "really love" the Kraken initial public offering (IPO) to happen in London. The potential £7bn listing of the energy software specialist has sparked a fierce battle between the London Stock Exchange and rival bourses in New York.
Jackson, who founded Octopus in 2015 and built it into the UK's largest energy supplier, stated the choice would become a "no brainer" if the LSE maintains its recent world-leading performance through 2025 and successfully attracts fresh investment capital back into British equities. A decision to snub London would deal a major blow to the City's prestige, exacerbating a years-long slump in new listings and market activity.
A Call for 'Hustle' and Rule Changes
This latest comment follows a warning Jackson issued last month to ministers and LSE chiefs. He cautioned that Kraken's leadership might be forced to choose New York unless the UK showed more "hustle". He criticised "Byzantine rules" that prevent British pension funds from investing in UK companies, starving growing firms of vital domestic capital.
The remarks coincided with the announcement of a fresh £25m investment into Kraken from the state-owned British Business Bank (BBB). Business Secretary Peter Kyle hailed this stake as evidence the government is now "hustling", branding it the BBB's "biggest and riskiest equity investment". He promised more similar, bold moves to support scaling businesses.
Securing a 'Seat at the Table' for Britain
The path to a public listing was paved in December when Octopus Energy sold a stake in Kraken to investors, valuing the tech firm at $8.65bn (£6.4bn). Notably, the lead investors were Fidelity International and the Ontario Teachers’ Pension Plan Board – neither based in the UK – raising fears they would push for an overseas IPO.
Jackson said the BBB's investment was a "great example" of the needed hustle and would give Britain "a seat at the table" to influence the crucial IPO location discussions. "At the moment we've only got one British investor," he noted. "All the rest are global."
He argued that reversing the decline in UK pension fund investment from 40% to just 4% of assets requires relentless focus on changing obstructive regulations.
Beyond rule changes, Jackson urged the UK to rediscover its "animal spirits". He pointed out that the New York Stock Exchange celebrated Kraken's funding round with ads in Times Square, while suggesting the LSE should loudly promote its success stories on landmarks like Piccadilly Circus. He called for a return to the energetic public conversation around major financial events, reminiscent of the 1980s privatisation wave, to rebuild confidence and attract investment.
