US investors have uncovered the delights of large companies whose ownership may be Swedish but whose business is international. Less well understood are some world-beating resource-based companies. Nick Kochan reports
US pension funds, once the great absentees from the Swedish corporate scene, have embraced the country's leading names. Their enthusiasm showed recently when Scania became the first Swedish company to list on the New York Stock Exchange (NYSE).
The Swedish presence on the American big board will increase when Astra and Investor obtain listings later this year. Swedish companies currently listed on Nasdaq, including Electrolux, SKF, Ericsson and Volvo, may also go for the NYSE. "The Americans are throwing as much money as they can at Europe," says Mark Hawtin, an analyst at Enskilda Securities. "They will eagerly support all the new Swedish issues."
The growth of international interest in Swedish companies has been remarkable. Five years ago, about 15% of Swedish shares were held outside the country. Now, it's approaching 33%. In the biggest companies, the proportion can top 50%. And as European ownership has declined, American ownership has grown rapidly.
