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@Poleaxe, the instruction was automatically revoked when I sold my rights. I had option to sell until 9th November. My instruction wouldn't have taken effect before that anyway.
HL made it very easy. I accepted to take rights but moment after price shot up to 100 and I sold rights @0.68p. So what has happened here that I have taken the rights also in theory as I have paid 0.32p (100 - 0.68p = 0.32p). It was simple as a click.
Sold mine at 100p. Including the new 10 for 3 rights. HL let me do it in my account without buying the rights. Instead rights were sold at 0.68p per right and original shares at 100p that were bought at 320p. Maths below
Bought 10000 shares at 320p few months back = £32000
Sold 10000 shares at 100p today = £10000
10 for 3 sold today at 0.68 (100p - 32p) without buying = 33333 * 0.68 = £22666
Total money received = 10000 + 22666 = £32666
I was in huge loss few days back. Thanks to Rolls Royce brilliant trick of Rights issue. I am now £600 in profit.
It may go up more but not getting greedy here. Instead feeling extremely lucky to get out safe and sound.
Thank you for your email.
The ex-date for the Rolls Royce rights issue is the close of business 27 October 2020. The number of Rolls Royce shares that you hold at this time will determine how many rights you are entitled to.
Shareholders will received 10 rights for every 3 shares held. Each right enables you to purchase one new share at the fixed price of 32p. There is no dealing charge to take up a corporate action.
We hope to receive these rights and have them applied to shareholders accounts on 28 October 2020. Please note that this is subject to shareholder approval at the meeting taking place on 27 October 2020. I'm afraid that it is not possible to submit your instruction before the rights are received. The deadline to provide your instruction is noon 9 November 2020.
In order to give an instruction for the Rolls Royce rights issue, you will first of all need to login to your account via the website, and then select the relevant HL account where the shares are held (i.e HL Stocks & Shares ISA). I'm afraid that it is not possible to submit this instruction on the app.
Once in the account, you will automatically be on the 'Stocks' tab, and your list of current investments will be listed further down the screen. You will then see an extra line of stock on this screen alongside your Rolls Royce ordinary shares which will be named 'Rolls Royce - Tradeable Rights'.
To the far right hand side of this line of stock there will be a white and black button which will say 'Corporate action rights issue', when you hover the cursor over the button. You then click on this button which will take you into a screen which gives you more information on the rights issue, and the facility to submit your instruction will also be at the bottom of this screen.
Samb69, Poleaxe
I knew shorters will jump on my comment, Did you knew this stock will rise upto 120% in last one week. Shorters were predicting to go under 80p. RI will have severe effect but stock will bounce back like a coil, mark my words 300p for sure by the end of next year. Covid is not forever.
The only thing I have learned in stocks is stay calm and be patient. I loaded at 106p and if this stock goes under 100p after RI I will load more. A once in life time money making opportunity :)
Where you or retailer like us stop thinking, the big hedge funds start from there and they play in billions and taking this stock to a cap of 26 billion could be a dream for you not for them.
Big Hedge Funds got involved around 100p that boosted the price. The retailer like us also called as Bargain hunters by fake news can't bring this stock up and down, it is always the big players and paid news.
If anyone think that Big investors will go in loss on this stock, no way. They are in for a big game.
If not this year at leat next year this stock will at least hit 300p. Just imagine the profits on your 32p bargain.
So the key game is patience if you have invested with the money that you can afford to stay invested. I would say forget your stocks for at least 1 year. Do not come to forum like these where faint hearted or shorters try to keep your moral down. Just like they have done with faint hearted people who sold around 100p.
Stay strong and check the price again after 1 year. Covid or no covid everything has to come back to normal at some point.
ToffAppleton1
That is why I have mentioned in calculation in my comment below that when the share price will hit 95p after rights issue, the question is when? 6 months 2 years or 3 years. It could be more than that.
But I am sure it will hit the average price someday ;)
Remember, "Stock market is a device for transferring money from the impatient to the patient." Warren Buffet
This link has good explanation. My suggestions is that if you are not selling your shares now and they go down further then accept your share rights.
https://www.sharesmagazine.co.uk/article/how-rights-issues-work-and-the-decisions-investors-need-to-make
Well take it as half glass fill.
Lets say you have 1000 shares bought at 315p costing £3150.
With rights issue you will be offered to buy 3333 (10 for 3 shares you hold) shares at a price of 32p. That will cost you £1006.56.
If you accept the offer you will have a total of 4333 shares costing £4156.5.
Now your average shareprice is 95p. As soon as the share price of RR will hit 95p in future you will not be in loss anymore. Question is when.
Anyone please correct me if I am wrong in calculation.
May be a ray of hope for RR
https://www.theguardian.com/business/2020/sep/19/first-ministers-call-on-uk-government-to-help-covid-hit-aerospace-industry-sturgeon
we normally do not see this kind of dip in big names UK stocks. More common in USA stocks.
Looks like some big hedge fund or invester has taken out RR out of the portfolio and flared up with panic selling. Be mindful this is end of Q2. Investors make big changes to their portfolios.
Perfect opportunity for buyers.
It may close around 2.9 today.