Member Info for Reader61

Thank you Pokerchips. HMRC do not make accounting easy, there are several rules around identifying which shares belong to which trade (30 day rule, section 104 holding, same day trades etc). It becomes fearsomely complex if you trade often or when things change such as with GSK. I found and use a free piece of software which manages these issues but you have to input the correct data, hence my grapple to understand GSK metrics. As others have pointed out, there will doubtless be guidance nearer the time.

Thank you for the replies, I've attached a link which describes an example of tax treatment. It implies it should be free of CGT/Income tax. Therefore, should I make any sells of GSK1 at the new, presumably lower share price my CGT liability will be less. Additionally, I shall show the GSK2 shares on my return as a straight forward buy at the cost price of the demerger. I think that makes sense? This is of course holdings outside ISA - If only I could get them all in to that wrapper huh!

https://www.taxinsider.co.uk/breaking-up-is-hard-to-do-splitting-a-company

Some posters actually give good information based on experience, which is worth reading as part of DYOR. You don't have to act on it. Some however are rude and confrontational with nothing of value to add.

Successful investors will know which is which.

So how is this treated then regarding tax reporting for my return? If I'm given new shares in the split, presumably my old shares are worth less so I've not actually gained have I? Do I thus assume the new shares are free gratis of tax?

Think I'm gonna bank some at the current £15.65

What effect will shortages in supply and HGV driver wage increases have on the results? My view is, it's too early for the wage increase to take much effect but the shortages could do some damage although panic buying often means an increase in revenue and the slowest moving, even the specialist food items get sold. So revenue may improve?

Hindsight huh, wishing I sold on the news of the huge div when it leapt up to ~ £63. Delta of £7 from where we are today and it'll likely edge up from here, thus I may try and get some more.

What's the timetable for getting our cash, it's now a dead weight on the folio so no growth or divvy. Wish I'd sold when it was above 180

I did pick out this function Gov is replacing only represents 1.3% of revenue, some £200M pa. NG. also said they would work closely with them and may make sales of parts of the organisation. So, might this actually work in our favour as shareholders despite the initial shock headline giving me pause?

Just seen an article on MSN regarding the Gov appointing an independent company to control electricity in the UK, stripping NG of the role. See link below, what are thoughts please?

https://www.theguardian.com/business/2021/jul/20/national-grid-to-lose-great-britain-electricity-role-to-independent-operator

Vote day - hope the institutions give it thumbs down.

Vote counted on 19th July, meantime all us PI's are quietly voting against but it's not enough on our own. Unless the institutions decide they're being shafted, we won't win I fear. Meantime the equity outfit has been hoovering up shares in the market to bolster a very lucrative deal for themselves. Directors et al will make millions I suspect.

They also need to restart a dividend for us lowly holders. I do wonder if the current directors have been offered something additional in the new company?

I have already done so and agree entirely. Just hope some of the big boys realise they're being sold short?

In the notes on investors website, it mentions Bidco (Siris) will be garnering support for the bid. Might this mean buying activity to ensure the success of the approach? In which case demand for stock may exceed the proposed offer as they induce institutional holders to part with enough to get their way?

Just guessing really.

Essentially the whole consolidation is a zero sum game for holders. The downside is we end up with some money and would need to repurchase the shares lost to consolidation to maintain dividend income. That costs money in terms of dealing and stamp duty costs. If your not in an ISA the equation is significantly worse as it may force a tax event on the special divvy income.
Think I will sell and maybe try and buy a dip- just don't know for sure if that will work as moving target!

Forgot to say, the only reason not to take the current premium is in the hope institutional and all investors other than the board reject the offer as derisory.

Agree, maybe the new CEO/Board can see a way to personally prosper mightily when the company is resold again in a year or two. Several million for selling out shareholders now would be worth it in spades in the long run.

Should enhance things if they invest in the platform. That depends what strategy they decide to take moving forwards, the EQN app is not as good as say brokers like Hargreaves Lansdown etc so they may choose to try and catch up?
Your shares are completely separate from the takeover bid. The concern is for owners of EQN shares bought at a much higher price than the offer and there are many of us.

Same - vote against