What happens after a buy out?

[viciam]

Hi there,

I bought shares in Banesto bank for 2.95 Euros on Friday. Today there is an announcement in the news that Santander will be buying out Banesto and will offer the equivalent of 3.73 euros a share to shareholders of Banesto.

So what happens next? This is the first time I'm coming across something like this.

Will Banesto be removed from the stock exchange?

Will I receive a check or will the broker I bought the shares through get in touch with me?

Thanks guys

 

[viciam]

Re: They bought them out

Here is a link to the news

http://www.bbc.co.uk/news/business-20754294

 

[viciam]

Santander, Spain's largest bank by market value, will buy the remaining 10.26% of Banesto it doesn't already own in an all-stock deal for the equivalent of EUR3.73 ($4.91) a share. The announcement Monday said Santander would fund the deal with shares of its stock it owns and expects it to close in May 2013.

The offer is valued at 0.633 Santander share per Banesto (BTO) share, Santander said.

I only bought 100 shares on Banesto. Am I going to make a loss? Will I end up with 63 shares of Santander?

 

[pixel]

Hi there,

I bought shares in Banesto bank for 2.95 Euros on Friday. Today there is an announcement in the news that Santander will be buying out Banesto and will offer the equivalent of 3.73 euros a share to shareholders of Banesto.

So what happens next? This is the first time I'm coming across something like this.

Will Banesto be removed from the stock exchange?

Will I receive a check or will the broker I bought the shares through get in touch with me?

Thanks guys

If you can sell them at a profit, it might be a good idea to do so.
Otherwise, you'll end up with 63 Santander shares. Those may of course go up or down just like Banestos could have done. ... or any share ever does.

That's why such takeover conditions are published months before the event: To give holders time to consider their options and either sell or hang on; maybe buy 37 Santander if you want to own a round number again?

The company that's been taken over will be deregistered and become a division of the "taker overer."

 

[viciam]

Santander has various stock listings which have different prices and some offer dividends and some don't

All the reports don't specifically say which santander shares my banesto shares will be converted to

Any tips?

 

[McLovin]

Any tips?

Yeah. Start saying thank you when someone helps you out. You've started countless threads here and you never say thank you.

pixel took the time to write a response, why not at least acknowledge it?

 

[burglar]

Yeah. Start saying thank you when someone helps you out. You've started countless threads here and you never say thank you.

pixel took the time to write a response, why not at least acknowledge it?

Be fair!
He thanks us in advance ... see post #1

I read pixel's response,
Thanks pixel, I like your posts!

 

[Julia]

Yeah. Start saying thank you when someone helps you out. You've started countless threads here and you never say thank you.

pixel took the time to write a response, why not at least acknowledge it?

Not specific to this thread either. It happens all the time. Really puts me off trying to help on any topic when I go to a lot of trouble to provide answers and there's not even a "thanks for your help - appreciate your trouble" or something. Bad manners really.

 

[cynic]

Yeah. Start saying thank you when someone helps you out. You've started countless threads here and you never say thank you.

pixel took the time to write a response, why not at least acknowledge it?

In fairness to vic, some of us did get a little poetic on his "Learning Ratios" thread.

 

[viciam]

One can appreciate in silence. I respect the opinions and advice of most members of this forum, that is the reason I keep coming back here and starting numerous threads for when I need good opinions and thoughts from people I honestly consider to be more knowledgeable than me. You included McLovin

Also: All of my threads have a "thanks in advance" in the first post as pointed out by burglar