What happens when shares in a company are worth Zero?

P

p45

Guest

• 7 Oct 2008

• #1

This morning shares at a major Irish crystal/glass manufacturer are at 0.02. If they reach zero what happens?

 

J

j26

Registered User

Messages

1,115

• 7 Oct 2008

• #2

I'll put in a buy order to buy the entire company

 

J

jhegarty

Registered User

Messages

2,965

• 7 Oct 2008

• #3

they can't really reach zero...

don't forget .02 to .01 is a 50% drop in the value of the company, .01 to .005 is another 50%....etc..etc..

 

C

ClubMan

Registered User

Messages

52,947

• 7 Oct 2008

• #4

jhegarty said:

they can't really reach zero...

Click to expand...

What if the company folds?

If the shares become worthless then this key posts might be of interest:

Getting CGT loss relief on unsold shares