Santander rights issue
Comments
-
How can you lose more than 100% of the value of a share?! Did you end up owing them four times what you'd paid, or were you spread betting perhaps?brewerdave wrote: »Lost a lot more than that compared with the "value" of the parent Abbey National shares I originally had - I reckon nearly 400% from their peak value !0 -
notbritishgas wrote: »My shares are held in my XO nominee account and I received a letter from XO, not Santander, saying I had been allocated 10 shares ( only just over 100 held) and could purchase them at something like £4.85 a share. No mention of getting a payment if not taken up.
Same here. No mention of getting any payment for lapsed rights.
I exercised the option on Monday by email as instructed but the trade doesn't appear to have gone through yet.0 -
Here is my letter. Please note the costs are in euros not pounds
What is happening?
Banco Santander SA has recently announced details of a Rights Issue giving you the opportunity to buy additional Shares. As you held Banco Santander SA Shares at the close of business on 5 July 2017 in your Stocks & Shares ISA you are entitled to participate in the Rights Issue.
What are my Options?
You have been credited with 1 Banco Santander SA Right for every Share held. You now have 3 options to consider and these are explained below in more detail.
Option 1 - Take up your Rights. The terms of the Rights Issue allow you to buy 1 new Share for every 10 Rights held. The new Shares will cost €4.85 each. You therefore have Rights to purchase up to 21 Shares which would cost € 101.85 to take up in full. You may also apply for Shares in excess of your Basic Entitlement.
Option 2 – Sell your Rights. You can sell your Rights in the market subject to a special flat rate commission of £10.00. The proceeds will remain in your Account. If you wish to sell your Rights then you may do so by calling us. The deadline to sell your Banco Santander SA Rights is noon Monday 17 July 2017. Please note that although it is expected that a market will continue to exist in the Rights up to this date it cannot be guaranteed. We will only be able to process your sale if there is still a market for the Rights.
Option 3 - Do nothing. If you do not sell your Rights or take them up by the deadline of noon Monday 17 July 2017 we will attempt to sell your Rights on your behalf to ensure that they do not lapse without value. The sale will be subject to a special flat rate commission of £10.00 and will be placed as a bulk trade which may result in you obtaining a more or less favourable price than if your trade is executed individually. Please note if the sale does not cover the £10.00 commission it will not be executed. The Bulk Sale is expected to be completed from Wednesday 19 July 2017, please note that although it is expected that a market will continue to exist in the Rights up to Wednesday 19 July 2017 it cannot be guaranteed."
pinkcloud0 -
Different arrangements apply to the rights issue depending on whether the shares are held through the Santander nominee service or a third party nominee service.
As far as Spanish tax is concerned however, I don't think there is a difference.
Santander have produced this guidance note with more detailed info.
http://www.shareview.co.uk/4/Info/Portfolio/santanderhelp/en/home/Documents/Spanish-Tax-Form-July-2017.pdf
It seems that you are supposed to;
- fill in a Form 210
- get hold of a letter from HMRC confirming that you are a UK resident
- submit these to the Spanish tax authorities (Delegaci!n de la Agencia Estatal de Administraci!n Tributaria) in order to claim exemption from Spanish tax. I believe it is the case that the double tax treaty exempts UK residents from tax.
They have detailed instructions on how to fill in a Form 210, and a Pro Forma letter to HMRC requesting the necessary certificate.
What I don't know is what the Delegaci!n de la Agencia etc will do if you don't take any notice of this ******* rigmarole. There is it seems a €100 fine for not filling in a form 210. But God knows whether they will chase a few thousand UK shareholders for a tax liability that doesn't actually exist for 99% of them.0 -
According to today's DM, Santander have 1.4 million UK shareholders. That's a lot of people to chase for missing 210 forms.:)0
-
brewerdave wrote: »I hold a handful of Santander shares in an HL ISA account.
HL tell me that I have 3 choices - a) purchase 20 shares @ a cost of 97 euros, b) sell the rights by phoning them with a flat rate cost of £10 or c) do nothing and HL will attempt to sell the rights for £10.
If the sale price of the rights is less than £10 then the rights will just lapse.
I'm leaning towards taking up the rights as I'm holding a bit of cash currently in the ISA - but really not sure if its worth it.
I can't believe HL are charging you to sell the rights and have the nerve to say if the lapsed proceeds are less then £10 they won't pay out!! The rights are about 8p atm... I wonder how many folk will actually get anything...0 -
How glad am I I got rid of my Santander shares. The flipping withholding tax did my head in when trying to complete my tax return. And all for pennies!Make £2024 in 2024
Prolific to 29/2/24 £184.97, Chase Interest £11.88, Chase roundup interest £0.18, Chase CB £16.96, Roadkill £1.10, Octopus referral reward £50, Octopoints £6.30 to 31/1/24, Topcashback £4.64, Shopmium £3
Total £279.03/£2024 13.8%Make £2023 in 2023Water sewerage refund: £170.62,Topcashback: £243.47, Prolific: to 31/12/23 £975, Haggling: £45, Wombling(Roadkill): £6.04, Chase CB £149.34, Chase roundup interest £1.35, WeBuyBooks:£8.37, Misc sales: £406.59, Delay repay £22, Amazon refund £3.41, EDF Smart Meter incentive £100, Santander Edge Cashback-Fees: £25.14, Octopus Reward £50, Bank transfer incentives £400Total: £2606.33/£2023 128.8%0 -
I can't believe HL are charging you to sell the rights and have the nerve to say if the lapsed proceeds are less then £10 they won't pay out!! The rights are about 8p atm... I wonder how many folk will actually get anything...
Why would they not charge? It's like selling any share, the transaction will cost to process. I can't see it's "the nerve" of not selling under £10. Surely if they were to go ahead and sell regardless we'd have plenty of people on here complaining that they'd got to pay more for the sale than they got back so it will cost them.Remember the saying: if it looks too good to be true it almost certainly is.0 -
Why would they not charge? It's like selling any share, the transaction will cost to process. I can't see it's "the nerve" of not selling under £10. Surely if they were to go ahead and sell regardless we'd have plenty of people on here complaining that they'd got to pay more for the sale than they got back so it will cost them.
It's a corporate action, not a normal trade so the costs shouldn't be apply. My provider hasn't charged me a penny to take part or sell rights in any corporate action since I've been with them... I just found it strange HL would....
Is everyone else charged for rights issues and the like?0 -
Have just received a cheque for £8.39 as a result of the rights issue.
Having looked through info on Santander site I agree with antrobus about what seems to be required re tax forms etc. This could well cost in excess of £8.39 as well as taking lots of time.
My thoughts : What happens if I simply don't cash the cheque? In that case I would have made no gain and presumably would not be required to do anything else.
Does anybody know if this is the case?0
This discussion has been closed.
Categories
- All Categories
- 343.2K Banking & Borrowing
- 250.1K Reduce Debt & Boost Income
- 449.7K Spending & Discounts
- 235.3K Work, Benefits & Business
- 608K Mortgages, Homes & Bills
- 173.1K Life & Family
- 247.9K Travel & Transport
- 1.5M Hobbies & Leisure
- 15.9K Discuss & Feedback
- 15.1K Coronavirus Support Boards