(Reuters) -AstraZeneca ( AZN ) said on Monday it would now directly list its shares on the New York Stock Exchange, instead of the current depository shares, and that it would remain listed and headquartered in London in a vote of confidence for the UK.

The move comes after reports that the Anglo-Swedish drugmaker, which is London's most valuable company, was considering ditching its London listing in favour of the U.S., raising worries about the shrinking London stock market as companies move away in hopes of higher valuations and access to deeper capital markets.

AstraZeneca ( AZN ) earlier this month also paused a planned 200 million pound ($268.80 million) investment in its Cambridge research site.

"Enabling a global listing structure will allow us to reach a broader mix of global investors," AstraZeneca Chair Michel Demaré said in a statement.

($1 = 0.7440 pounds)

(Reporting by Pushkala Aripaka in Bengaluru; Editing by Mrigank Dhaniwala)