HBOS shares - Rights Issue

Cacran

Oh, It looks as though I am going to have to make a decision with my HBOS shares and quite honestly I do not understand anything it is talking about. I got a huge prospectus the other day and today I have a slip to make my choices and to sign. I don't know what to do. Help!!!!!

Mrs_Money

Yep! Me too!
If it's any consolation - I too have received the small form today, with a pre-paid envelope for its return, which is a bit clearer than that huge book that I will never read, you just decide which option you want (haha!) and send it back - or don't do anything and you may get some small amount of money - I'm lost too - are there any investment experts out there who could put it into plain English for us? I do understand that if you don't buy any more of these "bargain" shares, your original stake in HBOS is devalued (that is how they raise some much needed money without actually giving any more of the company away) because this has been done to us before when Halifax was still Halifax (I don't remember it all being this complicated though).
Does anyone think that buying more of these shares is worthwhile? I can't decide and we haven't got long as we're going away on hols next week!
Help!:eek:

nhappy

I was advised that its good buy these shares when they are offered in this way because you get them at a good rate, because HBOS are trying to raiswe money. You dont have to buy all you can buy what you can afford.

ad44downey

nhappy wrote: »

I was advised that its good buy these shares when they are offered in this way because you get them at a good rate, because HBOS are trying to raiswe money. You dont have to buy all you can buy what you can afford.

The rights issue has spectacularly flopped. Why do they need your money? Because they wasted the last lot. Don't give them anymore of your hard-earned dosh, they'll only waste it.

Merrywidow

I too have received the ton of reading material. I hope someone out there can ease the indecision. I am an intelligent woman, but I would love a glass ball - because as far as I can fathom out that is exactly what is needed to know if you sink or swim when you buy more shares.

Dick_here

Thanks Andrew. Is there any real difference between selling your rights (option 3) and doing nothing (option 5) ? If so, which is the sensible option ?

agent_orange_2

Yes, selling your rights will get you the price at the time of sale, leaving it will get you the price on the day they expire.

Will it be higher, will be lower, what do you think?

joski_2

Does anyone know if there are any good articles to read about this to help with my decision. I really still have not got a clue what to do??!!!:eek:

stuartm100

Got an email this morning from Halifax to say there had been a transaction on my share dealing account.

Logged on and my rights issue shares have been sold....for my 83 right shares I received £12.90 :rolleyes:

Better than nothing I suppose

Slowlaner

Like others I have been confused by the paperwork. The Guardian on 20 June suggested savvy investors sell sufficient shares to fund their allocation of New Shares, thereby retaining the same stake in HBOS. However, I have decided to sell my few shares which I have held on to since the building society flotations. I'm butting out on the grounds that the people who have screwed up big time and messed up the economy for the rest of us, still seem to be walking away smelling of roses nice wad in back pocket and thank you very much suckers!

Banderman

stuartm100 wrote: »

Got an email this morning from Halifax to say there had been a transaction on my share dealing account.

Logged on and my rights issue shares have been sold....for my 83 right shares I received £12.90 :rolleyes:

Better than nothing I suppose

Don't be fooled into thinking you've gained anything from this shambles. Your shares are worth massively less than previously, £12.90 is a mere drop in the ocean. You, like every other shareholder, are totally out of pocket because of HBOS's incompetence.