(In third paragraph, corrects location of spokeswoman to Houston, not New York)
ZURICH, Nov 23 (Reuters) - Transocean, one of the world’s largest offshore drilling companies, is to delist from the SIX Swiss Exchange in the first quarter of 2016 to save on costs.
Transocean, whose 2010 listing in Switzerland was the biggest debut on the Swiss exchange in more than a decade, said on Monday that its U.S. shares would continue to trade on the New York Stock Exchange.
“Due to the expense and effort associated with multiple listing locations, we do not think it is in the company’s best interest to be listed on two exchanges at this time,” Transocean spokeswoman Pam Easton in Houston said.
Like many others in the oil business, Transocean has been hit by the low oil price which has meant that companies rent out fewer of its rigs as they cut back on exploration and production.
Its Swiss shares have lost more than a fifth of their value this year. They fell 1.3 percent to 14.07 Swiss francs ($13.80)by 1435 GMT.
In 2010, the company said listing in Switzerland was “an excellent way” to increase interest among Swiss and European investors.
Transocean’s exit from the Swiss exchange will make room for another company — possibly Swiss insurer Swiss Life — in the country’s benchmark blue-chip Swiss Market Index .
Members of the benchmark SMI are chosen based on their market capitalisation and trading volume. On that basis, Swiss Life and Swiss-based hearing aid maker Sonova could be the most likely candidates to replace Transocean.
“According to our selection list, Swiss life is, at least based on today’s figures, the most likely candidate,” SIX spokesman Stephan Meier said.
Swiss Life dropped out of the SMI five years ago after Transocean’s listing.
The SIX Exchange in Zurich said it was still awaiting formal notice from Transocean of its delisting intentions before setting the company’s final trading day next year.
Transocean will remain incorporated in Switzerland, the company said.
$1 = 1.0192 Swiss francs Reporting by Michael Shields, Rupert Pretterklieber and John Miller; Editing by Jane Merriman