How the Aryzta Rights Issue will work

Discussion in 'Investments' started by Brendan Burgess, 2 Nov 2018.

  1. shan999

    shan999 New Member

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    If you dont get the offer papers from link trustees by friday 9th,ring them on this no. 00442073976322 you will need your account number to hand as they will ask you for this.
     
  2. rob oyle

    rob oyle Frequent Poster

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    I assume that those closer to this/the markets (and speculators) are judging the results of the capital raise and this is affecting the price.
    Since the majority of the share value is now tied up in exercising the rights issue or selling them on, it seems way more complicated that a basic 'add x% to your existing investment to maintain your shareholding'. This means that, in theory, the cost of availing of the option is changing disproportionately, given a further investment is needed (buy 1 share now for €1.50/€1.30/€1.20 and 10 more for €9 after).
     
  3. shan999

    shan999 New Member

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    9
    If you dont get the offer papers from link trustees by friday 9th,ring them on this no. 00442073976322 you will need your account number to hand as they will ask you for this.[/QUOTE]

    TODAY FRIDAY 9TH,THIS IS A NIGHTMARE FOR THE SMALL SHAREHOLDERS WITH LINK,THEY SENT ME A EMAIL ON THURSDAY NIGHT BUT I DID NOT RECEIVE AS THEY INCORRECTLY LEFT OUT A LETTER IN MY NAME,FIRST THING THIS MORNING I RANG THEM, THEN THEY SENT ME THE DETAILS.
    THE CLOSING DATE FOR PAYMENT IS MONDAY MORNING AT 10AM,YOU MUST PAY IN STERLING TO A GB BANK ACCOUNT,THEY ARE NOT POSTING
    THE PRINTED VERSION UNTIL TOMORROW SAT,THESE WONT ARRIVE IN IRELAND UNTIL TUESDAY,I CAN SEE MASSIVE PROBLEMS FOR THE SMALL SHAREHOLDERS IN THE COMING WEEKS.
    I WAS LUCKY TODAY AS MY DAUGHTER WAS AT HOME,SHE WAS ABLE TO DO ALL THE COMPUTERWORK AND PAYMENTS

    BRENDAN,ARE YOU IN A POSITION TO HELP TO ENSURE THE SMALL SHAREHOLDERS GET THERE NEW SHARES.
     
  4. wheeler dealer

    wheeler dealer New Member

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    9
    I have 180 shares and contacted link trustees ,they returned email but they have no idea how many rights i am entitled to or the cost so i am wondering how do i work out my share rights and what will they cost
     
  5. shan999

    shan999 New Member

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    9
    You are entitled to 10 shares for each share you hold,so 180 shares will entitle you to 1800 shares at 1.00chf each/about 88c each, you will then own
    1980 shares at the new lower price.
     
  6. wheeler dealer

    wheeler dealer New Member

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    so basically all i have to do is apply for 1800 share rights to Link and direct credit the bank a/c in switzerland with 1800 chf
     
  7. Deiseblue

    Deiseblue Frequent Poster

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    718
    Shan999 - I’ve been informed by Link that sterling transfer is not acceptable- it must be Swiss francs
     
  8. Deiseblue

    Deiseblue Frequent Poster

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    718
    Except the Bank a/c is in London and I cannot see via Banking 365 how to transfer Swiss francs to a UK bank
     
  9. Arrested

    Arrested New Member

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    Anyone know how I can sell my nil paid rights in this Rights issue?
     
  10. shan999

    shan999 New Member

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    9
    The iban code is for a uk bank,why didn't they do this via a irish bank in euros,maybe they are trying to get rid of us small shareholders
     
  11. rob oyle

    rob oyle Frequent Poster

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    539
    Depending on how you hold your shares, if you don't take up the rights issue by the deadline they will be redeemed and the proceeds paid over to you.
     
  12. Stella66

    Stella66 New Member

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    3
    Last edited: 10 Nov 2018 at 10:05 AM
    Hi
    I need some help please. My elderly father has 1100 shares. Yesterday I was contacted by his broker (my father being deaf couldn’t deal with him & i’m Down as alternate contact). Anyway they want a decision by Monday. My father doesn’t have 9k hanging around to avail of rights offer.
    Can someone explain in plain english what will happen should he not take up the rights offer? Should I lend him the money to take up the offer? Or would it be better to purchase his shares now & me take up the rights offer & if yes what are they worth now? Thank you in advance.
     
    Last edited: 10 Nov 2018 at 10:05 AM
  13. Brendan Burgess

    Brendan Burgess Founder

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    As I sold my shares when the Rights Issue was passed, I have lost personal interest in this and assumed that Rob was correct.

    But I just checked out what happens if someone does nothing and I am shocked!
    Download - Aryzta
    6. What will happen if I do nothing?
    If your Rights are not duly exercised by 12:00 noon (CET) on 15 November 2018, your
    Rights will lapse and become null and void without any right to compensation, subject
    to any other arrangements made by the relevant financial intermediary maintaining the
    securities account into which your respective ARYZTA Shares are credited.

    So if you had 1000 shares worth €6,000 a few weeks ago, and do nothing, you will end up with 1,000 shares worth €1,200.

    I had assumed that they would sell your rights in the market but apparently not.

    Brendan
     
  14. Brendan Burgess

    Brendan Burgess Founder

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    His shares will fall in value from around €6,600 to €1,300.

    He should instruct the broker to sell his rights immediately.

    Or if you can get all the paperwork done by Monday and the money transferred, he could subscribe for the rights issue.

    Brendan
     
  15. rob oyle

    rob oyle Frequent Poster

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    539
    That's incredible (and not in a good way). Given the timeframe on this (I had to take action by Monday coming with Davy's, only got their notification on Friday), there will be a lot of small shareholders that probably won't take action in time but would assume they won't be worse off. Is it possible that this is badly worded and no one is entitled to 'compensation'. I wouldn't have thought so though, these papers should've been reviewed numerous times before publication.
     
  16. shan999

    shan999 New Member

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    9
    I would go with brendans no 3 option,but you need to contact your broker at 9am on monday morning to arrange purchase of rights
     
  17. Brendan Burgess

    Brendan Burgess Founder

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    That seems very clear to me, incredible as it may seem.

    I believe that Rory Gillen has written to shareholders saying something different: "If you do not take up your rights they will be sold in the market place but you will not receive any on (sic.) the excess over the CHF1 issue price."

    Come to think of it, I don't understand what Rory is saying. I valued the rights at 50 cents each:

    upload_2018-11-10_16-1-51.png
    So maybe it's the same thing?

    Brendan
     
  18. Brendan Burgess

    Brendan Burgess Founder

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    It looks as if the Rights closed on Friday on the Six Swiss Stock Exchange at

    0.276 CHF which would be about €0.24 each.

    The share price on Friday was €1.175
    The subscription price at 1 CHF is €0.88
    So each right should be worth about €0.29 cents ( €1.17 - €0.88)

    Brendan
     
  19. Brendan Burgess

    Brendan Burgess Founder

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    35,989
    I attach Rory Gillen's comments on Aryzta
     

    Attached Files:

  20. Brendan Burgess

    Brendan Burgess Founder

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    35,989
    Rory has told me that Irish euro rights can't be traded. They must be taken up or the value is lost.

    Brendan