Barclays shares

agent_orange_2

Barclays are offering 3 new shares for every 14 existing shares you hold. As the op states, he will be entitled to 44 new shares at the offer price of £2.82 each.
At the current Barclay share price of £2.98, it represents a profit of 18p a share
18p x 44 = £7.92 possible gain. But of course, the share price will move up or down before the offer elapses.
The day after the offer ends, the share price may well drop as the new shares are possibly sold into the market.
If you intending to keep the shares long-term it is probably worth taking up the offer.
But who knows what the future holds for bank stocks?

Quasar

LOL no the £124 is for the 44 shares. Each BARC share is just under £3. About a year ago shares were almost £7 each...

EDIT - I was replying to MRLX69

Thanls agent orange. - as I said in my OP, these 208 shares were just given to me when Barclays bought the Woolwich, so that was a free lunch so to speak. I can easily afford the £124 and as said above, it would be extraordinary if Barclays were to collapse. Dunno, I will make up my mind this week.

Thanks everyone.

edda

You have until Thursday 17th July to reply only if you want to buy more shares. If you don't reply, you're only committing yourself to diluting your holding (i.e. you will have the same number of shres out of a larger total number). This option won't cost you anything.

Your other option is to buy a given number of shares (up to the maximum you have been offered) at a price of 282p each. I would wait until nearer the deadline date to see what the price is. It could make the decision easier.

agent_orange_2

edda wrote: »

You have until Thursday 17th July to reply only if you want to buy more shares. If you don't reply, you're only committing yourself to diluting your holding (i.e. you will have the same number of shres out of a larger total number). This option won't cost you anything.

Your other option is to buy a given number of shares (up to the maximum you have been offered) at a price of 282p each. I would wait until nearer the deadline date to see what the price is. It could make the decision easier.

If share price drops below the offer price you could be better off buying in the market. Of course you'll have to allow for dealing charges and tax if buying through the open market.

Rikki

Any more opinions before I make my mind up tomorrow?

edda

Price closed today at 267.75p
You can buy more shares at 282p
Price on 24 June was 311p when he offer was made.

I'll leave you all to decide what to do before the deadline date.

Quincunx

Barclays shares are currently (2.31pm 14 July 2008) bumping along at 282.50.

Do I take up the offer or buy on the open market?

Grateful for an indication of the on-cost of buying £1.25k worth on open market.

Agent Orange said there would be tax and dealing charges to pay.

Grateful if anyone could give me an indication as to what value these may be?

Many thanks
Qx:think:

Carol_Kaufman

Just registered on this site to see if I can also get an answer as to whether to buy shares or not. I had 400 odd shares left to me recently (unfortunately not before the recent drop in prices), so do I now pay £200 odd out to get more. I think I will also play the waiting game until tomorrow and decide then whether to buy or put the money in my ISA.

Thanks to all of you who have added their comments, it has helped me.


Carol