Shares

tsmiggy

Hi
I am not sure if i have posted this in the correct area,but here goes.I have shares in Alliance and Leicester,and they are supposedly intalks over a takeover.Can anyone explain what then happens to my shares if the takeover is agreed...........

Thanks

schiff

tsmiggy - welcome to MSE!

If you have a share certificate you will get all the necessary info through the mail. The extent to which you are able to take it all in is another matter!
In particular the very lengthy and complex document (more like a glossy magazine) that the company is obliged to send to shareholders when something like this happens.

The bare bones of what to do and the dates by which you have to take action are usually set out in bold towards the front of the document. You may be given shares in the taking over company (to replace your A&L shares) or receive cash. Almost certainly there will also be a means of selling your new shares (if that's what happens) for a modest commission - if you don't have a stockbroker etc of your own to do it through.

If you normally get a decent daily newspaper - Times, Telegraph, Mail or
Express - you will need to keep your eyes open for any news on the Finance/City pages. There will be more than enough coverage in the press, as this was a popular privatisation, and the shares are widely held by private investors. If you have kept them from the beginning well done!

And then of course you can always come back here where any number of good people will be queueing up to help you!

webwiz

Schiff has given you good advice but it was not actually a privatisation but rather a conversion from a BS to a bank

HGLTsuperstar

No you're not being pedantic, just a bit late. Yes A&L is now a bank, but European banks are sniffing around to take it over which is what the OP was referring to.

EdInvestor

Webwiz is quite right.

Schiff said:

There will be more than enough coverage in the press, as this was a popular privatisation, and the shares are widely held by private investors.

Not so, it was a demutualisation, not a privatisation.

Quite different actually.

schiff

Bit amused by the correction to what I said and the number of people who have piled in; obviously I hold my hands up.

However, looking at the situation now and tsmiggy's original question, am I not right in saying it doesn't make a blind bit of difference to anything that obtains on 7/5/2006?

Mind you I had better await the next correction, just in case!!!

:cool:

Chrismaths

HGLT's correct. Demutualisation is ancient history - there was a rumour in the market the Banco Santander were sniffing around A+L's particulars, which both have subsequently denied. To answer the original question - there is no bid, so don't worry. If it does get bid for, you will be given options to a) reject it, b) accept the offer - with various payment options (cash/loan notes etc).

schiff

What pray do 'A&L's particulars' smell of to be so attractive to a Spanish suitor - who presumably smells of garlic?