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Main => Gospel Music Lounge => Topic started by: phbrown on September 25, 2010, 10:38:42 PM
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I know this is probably not the best place to ask this question. Nevertheless I will ask it.
I recently recieved a letter of tranmittal to tender shares of common Stock.
I currently only own 1 share of this stock and my wife purchased it for me as a birthday present. Thus I do not own it for money reasons. In fact this one share is in a frame on my wall which I admire from time to time.
My question is because this is a merger do I have to sell my share?
I much rather not sale my share. However there was a line that made me pause.
"In the merger, all shares of the Company's common stock not purchased in the tender offer will be converted into the right to receive the same cash payment as in the tender offer, without interest."
Does that mean even if I don't sell my share if the purchaser attains a certain percentage of the company that they will just send me a check regardless if I want to sell or not?
I woudln't mind selling if I can keep my certificate but I am under the impression that I will lose my certificate if I sell or am forced to sell.
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This means the company is either being bought out, merged or is being taken private.
This happened to me a few years ago with some shares I had with Integrity Music. It was bought out by a private investor (the CEO) and I automatically received a credit in my stock account.
I think you can probably sell the share (or accept the cash in the 'tender offer') without turning in your certificate...
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This means the company is either being bought out, merged or is being taken private.
This happened to me a few years ago with some shares I had with Integrity Music. It was bought out by a private investor (the CEO) and I automatically received a credit in my stock account.
I think you can probably sell the share (or accept the cash in the 'tender offer') without turning in your certificate...
WOOHOOO!!!! Your right is is being merged.
I will read through the information sent to me again to make sure I don't have to turn in my certificate. I'm just a little sad that I won't be recieving my dividend any more :( that $0.07 was a great feeling LOL :)
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I know this is probably not the best place to ask this question. Nevertheless I will ask it.
I recently recieved a letter of tranmittal to tender shares of common Stock.
I currently only own 1 share of this stock and my wife purchased it for me as a birthday present. Thus I do not own it for money reasons. In fact this one share is in a frame on my wall which I admire from time to time.
My question is because this is a merger do I have to sell my share?
I much rather not sale my share. However there was a line that made me pause.
"In the merger, all shares of the Company's common stock not purchased in the tender offer will be converted into the right to receive the same cash payment as in the tender offer, without interest."
Does that mean even if I don't sell my share if the purchaser attains a certain percentage of the company that they will just send me a check regardless if I want to sell or not?
I woudln't mind selling if I can keep my certificate but I am under the impression that I will lose my certificate if I sell or am forced to sell.
yes, you will probably get a credit in your inaction to your account which will mean that you will still physically have the certificate, but it will be worthless. If thats ok with you, then thats cool. Nobody cares that you have a (monetarily) worthless piece of paper on the wall, but if you keep it up for the sentiment, then it becomes (figuratively) priceless to you and your wife.
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WOOHOOO!!!! Your right is is being merged.
I will read through the information sent to me again to make sure I don't have to turn in my certificate. I'm just a little sad that I won't be recieving my dividend any more :( that $0.07 was a great feeling LOL :)
the new co. may have a dividend as well. What is the name of the old company by the way?
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yes, you will probably get a credit in your inaction to your account which will mean that you will still physically have the certificate, but it will be worthless. If thats ok with you, then thats cool. Nobody cares that you have a (monetarily) worthless piece of paper on the wall, but if you keep it up for the sentiment, then it becomes (figuratively) priceless to you and your wife.
WOOHOO!!! Okay I'm great at being inactive concerning this type of stuff :D. I didn't get to read the info yet to verify that i can be inactive or if I need to provide a method so they can pay me. I'm sure they will just mail a check but I rather be safe than sorry.
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the new co. may have a dividend as well. What is the name of the old company by the way?
Burger King
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So after a lil research, they were offered $4billion around the 15th of this month by a private company called 3G Capital. They are still settling the terms right now, but basically the price for their acquisition has come down to 3.26 bil and every shareholder gets $24/share owned. BKC shares will not exist after the purchase by 3G. And since 3G is private they will not have any shares to offer you, or a dividend; hence the tender offer. BK is selling itself because they have had troubles keeping up in this slow economy (inflation costs for food, inability to match McDs low prices, poor marketing strategy, etc.) So these 3 Brazilian billionaires are taking it over.
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... So i can keep my little piece of paper? :D
How did you find that out? I knew it since I received the letter in the mail which told me all those details. (for the record I never actually attempted to search for the sale using a search engine)
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... So i can keep my little piece of paper? :D
How did you find that out? I knew it since I received the letter in the mail which told me all those details. (for the record I never actually attempted to search for the sale using a search engine)
public companys have a symbol that if you search it on a finance board like yahoo finance, it will show you the recent news articles about the co.