Member Info for Savage_KeyboardR

swingman - I'm hoping it remains low for a while after the RI, as a new investor to TUI I plan on topping up at regular intervals going forwards.

Perfect, as I've gone all in on the RI - TUI bookings v.strong, looking both backwards a few months and forwards too. What with net debt set to reduce considerably and the Russians being diluted then in time it'll recover nicely (playing the long game here, as I invested post consolidation).

Is it true that the more Tui you buy the more you save?!

Hi Stumpy,
An easy one to answer, you take your 168 holding and divide that by 3. Then multiply the result by 8 to get the number of shares you're being offered under the RI = 448 - at current exchange rates those 448 would have a top estimated purchase cost of £5.10 each (but it's more like £4.90-£5 at current exchange rates - as they're priced in Euros and your trading account may charge you a small commission fee - I'm with HL they're charging 1%)

So to purchase all the RI shares you're being offered you are looking at a top estimated cost of around: 448*£5.10 = £2284.80

Spammy, with the top brass having notified via RNS feed today they're taking up their RI shares looks to me as though TUI backing out of this RI process is categorically not gonna happen. (Corrected my typos)

Spammy, with the top brass having notified via RNS feed today they're raking up their RI shares looms to me as though TUI backing out of this RI process is categorically not gonna happen.

It's just the top brass confirming they're buying their RI options - given they're legally required to notify the market it's nothing unusual.

Tille - Aren't the TUI AG ORD REG SHS NPV DI shares the London Stock Exchange Listed ones? > I don't think Lloyds are being sneaky here although, happy to be corrected if I have this wrong?

Almost PG... Except this time the Russians cannot take part so it's not a 'normal RI' and therefore applying the normal rules won't work in this situation. You have to amend your calculations to try to take account of this distortion impact as best you can do under these unusual circs.

Definitely do the maths Claret1 - Best to scenario forecast this one out:
I recommend the following:
1. Panic & Sell everything NOW!!
2. Half in, Half out.
3. All in, fill the ole boots up to the brim with lovely jubbly Tui shares!

I did all my calcs using 4x assumed sp's being obtained, within 6-18 months of the RI completing: £5, £10, £15 & £20.

Then pick the option that works best for you. For me it was number 3 (albeit not without it's risks).

Claret - completely see why you're concerned however, there's one aspect which has been less covered by posts here on LSE... The Russians (currently under sanctions) will be diluted by this RI; they're prohibited from taking part meaning their total holding (quite a significant percentage) is 100% guaranteed to shrink. This is unusual in an RI as normally all shareholders get diluted. It's quite tricky to calculate this but one thing is certain... for anyone taking up 100% of their RI shares their total holding will actually grow.

RI shares have appeared in my HL account - a little cheeky HL are taking a currency conversion fee of 1% - they stand to do pretty well from this RI!

Yup, I agreed with Bighitter - it's against the post consolidated holding at the close of Business on 27th (just in case you sold/bought any after the consolidation).

For every 3 shares you held, at Close of Business on Mon 27th, you'll receive rights options to purchase 8x shares at around £4.90 per share (based on current £ to Euro rate). If you don't want to buy all the shares you're permitted to purchase then you should receive options to sell on your rights options but... the price you'll get for them will depend entirely on demand, bear in mind every existing shareholder will have these rights although some may not have enough cashflow to buy all their options and therefore may look to sell their rights options too.

Vijay, I believe the Rights Issue (RI) options will be made available on 30th March (not long to wait) - There was a cut off date, for existing share holdings to qualify for the RI options, I think that was Market Close of Business Yesterday (from memory) but definitely double check with your own research. Anyway... you may want to check out this article here which explains RI nicely:
https://www.hl.co.uk/learn/glossary/rights-issues?utm_source=Silverpop&utm_medium=email&utm_campaign=HL7294%20-%20TUI%20AG%20-%20Rights%20Issue%20(1)&utm_content=link&theSource=&Override=1&sp_mid=72812197&sp_rid=bWF0aGlldS53YXRlcmZhbGxAb3V0bG9vay5jb20S1

You might find this article helpful?:
https://www.hl.co.uk/learn/glossary/rights-issues?utm_source=Silverpop&utm_medium=email&utm_campaign=HL7294%20-%20TUI%20AG%20-%20Rights%20Issue%20(1)&utm_content=link&theSource=&Override=1&sp_mid=72812197&sp_rid=bWF0aGlldS53YXRlcmZhbGxAb3V0bG9vay5jb20S1

I share your views Avocet/Blakester2/Golitha - It's a far healthier landscape for travel industry right now, even given ongoing Cost of Living challenges. With oil prices looking set to stagnate (or perhaps even fall a little) this could help a return to profit quicker than many probably anticipate... The RI being primarily to reduce debts is v.sensible given debt interest rates being higher now than 12 months ago > prevents debt interest fees eating into what looks to be a bumper year ahead in the Travel Sector!

"Existing investors always lose out on a RI in the short term"... I see where you're coming from however, in a scenario in which the company did not initiate an RI then it could well find it struggles to service it's debts and remaining in business could become tricky > existing shareholders could well suffer big or total losses. The RI seems a sensible move by TUI ;-)

That's v.interesting as last week I flew TUI (Europe flight) and same thing, plane totally full - I had good experience of their customer service and I didn't overhear any of the other customers complaining about TUI service levels either. In fact quite the opposite as I did overhear one group saying they'd already booked onto a second TUI holiday in a few months time. Likewise, I'll be taking up 100% of the RI.

Recently bought £1k of TUI shares (I felt travel sector likely to do well through 2023+2024). The TUI consolidation (I bought in after this) and recent rights issue together look like fairly sensible actions (to keep the business going and ensure it can service it's debts/weather the economic storm) in the short term. Do you think it will recover and go on to emerge far stronger in 12-24 months time? - I'm likely to take up the full rights issue and might even consider buying some more... as lots of people appear to be carrying on and booking their TUI holidays (at the minute)!