Sphere Entertainment (NYSE:SPHR) fell 4.8% after the company’s plan to build an entertainment venue in London, similar to its recently opened Sphere in Las Vegas, was rejected by London’s mayor, Sadiq Khan.
The London mayor rejected the plans for the entertainment venue that was set otbe covered it LED panels as it would cause excessive harm to local residents who would be hurt by light pollution, according to media reports, including Bloomberg.
The proposal had previously been approved by the London Legacy Development Corp. The land was previously used as a car park during the 2012 London Olympics.
“While we are disappointed in London’s decision, there are many forward-thinking cities that are eager to bring this technology to their communities,” Sphere Entertainment (SPHR) said in a statement on Monday. “We will concentrate on those.”
The Sphere would have a 21,500-capacity main auditorium. Plans for the London venue were first unveiled in 2019.
Sphere shares have jumped 45% since late April when Sphere Entertainment (SPHR) completed it spinoff, at least partly as investors clamored for the opening of the Sphere in Las Vegas, which happened in late September, when U2 performed their first concert at the venue.