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UK fintech Wise plans to switch its primary listing to New York in an attempt to attract more investors and boost its valuation, dealing a fresh blow to the London market.

The company, which listed to great fanfare in London in 2021 at an almost £9bn valuation, said the move would increase its appeal to US investors and enhance its expansion plans in the world’s biggest economy.

Announcing the decision on Thursday, Wise said: “We believe the addition of a primary US listing would help us accelerate our mission and bring substantial strategic and capital market benefits to Wise and our owners.”

Shares in Wise, previously known as TransferWise, climbed more than 6 per cent in early trading, giving the group a market capitalisation of more than £11.8bn.

Founded in London in 2010 by Estonians Kristo Käärmann and Taavet Hinrikus, about a fifth of the company’s staff are based in the UK.

Its decision to go public in London rather than New York was hailed as a rare coup for the UK market. The company said it intended to retain a listing in London.

It said on Thursday that a US primary listing would boost awareness of its brand in America, a key market, and give it “better access to the world’s deepest and most liquid capital market”.

Wise began as a provider of money transfers that undercut banks, but has expanded to offer interest-yielding investment products and a debit card.

Wise said the decision to shift its primary listing to New York would be put to a shareholder vote, with more details of the proposed switch to be released on or around June 26.

The decision is likely to fuel anxieties over the appeal of the London market, which has historically struggled to compete with Wall Street and suffered setbacks in recent years as several companies have either exited London or made it their secondary listing.

Construction equipment rental group Ashtead in December announced plans to move its listing to New York, saying that the US was its biggest market. Ashtead was the sixth FTSE 100 group to have ditched the blue-chip index in favour of overseas venues since 2020. Others included Flutter, owner of Paddy Power, building materials group CRH and plumbing products supplier Ferguson.

Wise’s announcement came a day after Glencore-backed Cobalt Holdings scrapped plans for a London listing this month, which would have raised $230mn.

While Wise’s market capitalisation has increased during its almost four years on the London market, the company has drawn scrutiny from regulators.

Last October, the Financial Conduct Authority fined Käärmann £350,000 for breaching conduct rules and failing to notify the regulator of “significant tax issues”, but cleared him to carry on as chief executive.