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Company Shares
#1
Ok question to all you finance bods.

I have shares in my company and they are about to split in half and form a new company. Clearly my share value will drop, hopefully for a limited time, but the value of those shares is less as there is less company? Do you get reimbursed for the missing value? How does it work?!  Undecided
2010 Canyon Aeroad 9.0 SL
2014 Specialized Epic Marathon
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#2
I would guess its the same as buying any share, they are not a fix value & can go down as well as go up.... Sad
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#3
Is the company being disolved and 2 new companies being created? or is the existing company remaining?
I believe, and I am no expert, that you will either get a dividend related to the sale of the assets or receive shares in bot companies. I very much doubt you will just have to suffer a hit.
Hassle your HR department for info.
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#4
"Blackers" Wrote:Is the company being disolved and 2 new companies being created? or is the existing company remaining?
I believe, and I am no expert, that you will either get a dividend related to the sale of the assets or receive shares in bot companies. I very much doubt you will just have to suffer a hit.
Hassle your HR department for info.

Existing company will remain and just create a new company from a rough 50/50 split.

As for HR, they know less than nothing about almost everything. Totally useless bunch of *insert abuse*
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2014 Specialized Epic Marathon
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#5
What you need really is to speak to a financial guy (or girl), but What Mark says sounds right.

This leads me on to.... I keep meaning to ask on here if anyone has used a financial person and can recommend anyone? I am talking general finances, pension, savings, mortgage, tax dodging, company shares etc
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#6
"redwinnie" Wrote:What you need really is to speak to a financial guy (or girl), but What Mark says sounds right.

This leads me on to.... I keep meaning to ask on here if anyone has used a financial person and can recommend anyone? I am talking general finances, pension, savings, mortgage, tax dodging, company shares etc

I know a rather friendly accountant type in Wrotham if you require recommendation...
2010 Canyon Aeroad 9.0 SL
2014 Specialized Epic Marathon
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#7
"treaclesponge" Wrote:I know a rather friendly accountant type in Wrotham if you require recommendation...

Cheers Rich, not sure if it should be a financial advisor rather than an accountant. Don't really know what the difference is.

My company shares are up in 3 months time, currently 80% higher than I paid for them, which is nice.
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#8
"treaclesponge" Wrote:Existing company will remain and just create a new company from a rough 50/50 split.

As for HR, they know less than nothing about almost everything. Totally useless bunch of *insert abuse*

Have you had an official notification that these changes are happening? if so, who from? As a shareholder you should be informed of such things in a formal matter.
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#9
"Blackers" Wrote:Have you had an official notification that these changes are happening? if so, who from? As a shareholder you should be informed of such things in a formal matter.

Nothing as yet, was announced this week so I expect we will get some sort of letter early next week. Its gone public so its not a secret
2010 Canyon Aeroad 9.0 SL
2014 Specialized Epic Marathon
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#10
"treaclesponge" Wrote:Nothing as yet, was announced this week so I expect we will get some sort of letter early next week. Its gone public so its not a secret

rest easy for now then. I suspect you will be offered shares in the new company to go with you existing but devalued shares.
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