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Kingrav
No. The market cap has been reduced by the pension deficit, the tax and the dividend
Correct me if i am wrong but did Tesco not give ample warning of what was to come.Surely any individual not happy had the option to sell their shares.
Well said!
kingrav,
"It be interesting to know market cap before all this happened. Anyone know?"
About £23.5 billion before "all this happened", and about £18.5 billion afterwards.
To calculate market capitalisation just multiply total number of shares at the time, by share price at the time. You can get the exact total number of shares from the relevant RNS announcements, those dated 1 Feb 2021 and 15 Feb 2021. Just press the "RNS" button near the top of this screen - they're all listed in date order.
What's this all leading to?
Mike.
Wake me up when there is something else to debate
It be interesting to know market cap before all this happened.
Anyone know?
I assume that many will use the Divi to buy back some more shares to keep the valuation of their holding much the same as before?. If the SP has dropped then you will be able to get a few extra. No big deal?
So effectively they have wiped out 4 out of every 19 shares, by buying them out. But surely market cap wouldn't drop by this amount?
k
''shouldn't the remaining 15 shares also represent 19b, ''
I will give you a clue
'' paid out for the other 4 with a divvy.''
Do we agree that tesco's market cap should be the same?
Let's presume it was 19b, and Let's pretend there is 19 shares, then each shares is worth 1b each. We are down to 15 shares , and paid out for the other 4 with a divvy.
So at same price , shouldn't the remaining 15 shares also represent 19b, meaning at least a 20% rise???
Ive stalled the monthly payments on the marble bathroom with solid gold taps, and going in with a mega buy at 15.30 tommorrow Friday.. Hoping for £2.25, the price I originally mortgaged my life for lol
Anyone thinking of buying Tesco after that time is ill advised to do so.
SKOCHADAM,
Longtimeinvestor has already given you a couple of quick answers - you have not lost £5,000. If you wanted more detail you can either look at Tesco's own announcement to the Stock Exchange back on 25 January here, which has all the details including the timetable:-
https://www.lse.co.uk/rns/TSCO/notice-of-general-meeting-1ln7jr9c7usdj1m.html
or you can look at my example below which I've copied-and-pasted from my explanation earlier to another poster with a similar question - you'll just have to scale-up the 190 to whatever number of shares you owned up to last weekend.
(i) Last Friday let's say you had 190 "old" Tesco shares. The market price was about £2-40.
Therefore you had £456.
(ii) This week you will have 150 "new" Tesco shares. The market price is about £2-40.
That's £360.
You also have a dividend of 50.93p to come (payable on 26 Feb) on the 190 old shares.
That's £96-76.
So now you have £456-76.
Unfortunately share prices across a lot of the market have fallen today (possibly due to the strength of Sterling), and the Tesco shares are currently only about £2-30. So at the moment you'll have slightly less, but that would have happened to an even larger extent if this Tesco "special dividend and consolidation" exercise hadn't taken place.
I hope the above makes sense.
Regards, Mike.
Mrs ECR will not wait until early March for the I phone 11. So it looks like my days are numbered. Which is just as well if it helps me get rid of the headache Tesco's enormous and inconsiderate "**** up" has caused.
prussell1963 - as per your earlier post, I'm going for £2.18.
LTI
I will consult my solicitors, Earnmore, & Ripponhoff. Ive fired the stockbroker.
sk
you will receive 50.93p for every share that you held last Friday
ECR
A lot of shareholders may be waiting for the cash distribution to potentially purchase further shares (or not).
Will have to wait until early March to see how the share price settles
sk
you have not lost £5,000.
You have money to come
well I dont know....... Todays sharp drop from what we hoped would be a level £2.42 looks to be down to Tesco SP following similar drop in FT100. In other words other market forces are at play......
For those playing the "lowest SP price reinvestment" tactic, then try buying around last hour tommorrow, Friday, when all the big boys are off early to their weekends of hedonistic living. Friday's late pm is always a great possible time to buy.
Before the consolidation, the total value of my shareholding was £20000.00, but now only £15000. My loss is £5000.00. My hard-earned is gone.
LTI
Have the phone, a good **** up, and leave me unburied ?? Im not having that!! But thinking about it, I would not be in a position to argue LOL
but option one would be best for you
although if you purchased more shares in Tesco and they subsequently increased in price, then upon your death Mrs ECR could then sell - buy herself the phone and have enough left over for a good pizz up at your wake.
Could leave these choices to Mrs ECR.
ECR
Buy the phone.
It is not worth having an increased Tesco shareholding if you are dead.
"seeing it in a better light"
Im glad someone is beginning to work out this work out this conundrum. My brain is still revolving at 8000 revs per second..... lol