Wasps 22 Discussion Threads

[ozzie_dog] 21/5/2021 15:42

Thanks, I thought that it might have been, otherwise I would have expected to have seen something on the Wasps's rugby forum.

[aringadingding] 21/5/2021 14:10

Ozzie_dog I can confirm it was an AJ Bell error. They sent me 2 messages on their platform to confirm as such.

[ozzie_dog] 21/5/2021 12:44

I have heard nothing about this from HL, is it true? Or is it an error by Bell as someone below suggested that it might be?

About paying more than £1 for early redemption compensation for missing out on interest payments, that was agreed by the previous corporate action that Wasps would not have to pay that. So the max that they can be redeemed at is £1.

[verymaryhinge] 21/5/2021 08:41

ooh.. a decent sized print of 300,000 from earlier in the week, I see.

[carmic] 20/5/2021 15:43

Hi there,
Given the recent A J Bell error and distribution, has anyone else had problems getting the funds credited to a Barclays Smart Investor Account?
Speaking to them today, they could not confirm that they had received the payment from Wasps.

[grahamg8] 19/5/2021 17:31

At the current offer price of 89.25 the return is 19.32%. But what the heck, it is really good as long as redeemed at par. In April I managed to buy some but quantity limited to 6,000 at a time appx £4,500. Although multiple purchases were possible. I suspect the market is even tighter now.

[aringadingding] 19/5/2021 17:11

Haha oh well. Yes I confirmed the same thing with AJ Bell on the phone today also.

But agreed that the profit from here, with redemption at par, is good. I make it 21%

i.e. =(12 + 6.5) / 88)

But still good anyway.

[zzaxx99] 19/5/2021 10:14

The terms of the refinancing are going to be really key. At the moment, there's a guaranteed redemption price of 100p, and 6.5% interest in 2 payments - unless I'm missing something key, at current prices there effectively guaranteeed ~24% profit by this time next year (assuming you're actually able to buy any)

[grahamg8] 19/5/2021 10:06

I hope no one bought in the hope of a near instant gain. If so you could be lining up a compensation claim against AJ Bell for creating a false market. Refinancing news will arrive eventually. Stephen Vaughan CEO 15 April "really confident of bond refinancing".

[fastcat99] 19/5/2021 09:37

Wasps have confirmed that AJ Bell's announcement was incorrect

[zzaxx99] 19/5/2021 09:22

I mean it's been paid by AJ Bell into my account there, 5 days ago

[grahamg8] 19/5/2021 09:17

zzaxx if AJ Bell have messed up then it still could be. We know the interest has been paid, but do they?

[zzaxx99] 19/5/2021 09:13

@grahamg8

It's not a confusion over the interest payment - interest payment had already been paid

[fastcat99] 19/5/2021 08:52

Wasps should be aware of this anomaly by now - I do indeed expect AJ Bell to be clarifying very shortly

[verymaryhinge] 19/5/2021 08:14

anyone had any update from AJ Bell ? tia

[grahamg8] 19/5/2021 07:40

Interest payment date was also 13 May. So did AJ Bell get their nickers in a twist and mistake an interest payment with a redemption? I agree that there should be an RNS which would have brought the price up to 100p or thereabouts. Wasps and/or AJ Bell need to clarify pronto. Holding off the celebrations for now.

[zzaxx99] 18/5/2021 21:19

I agree with aringadingding over the notice period - there appears to be requirement to give between 30 and 60 days notice; I've had a read through the 2017 and 2020 consent proposals, and there doesn't seem to be anything in either which varies this.

Ultimately, I don't really care - I'll take my 100p ASAP, thank you very much, but there does seem to be a bit of a lax approach to how this redemption is being managed, with a note through one stockbroker, and no formal notice period and no RNS

[zzaxx99] 18/5/2021 21:03

Aha - just read again:

From page 11
Optional early repayment by Issuer

The Bonds may be redeemed (i.e. repaid) early, at any timeon or after the interest payment date falling on 13 May2019 at the following applicable redemption prices (as set out in the table below), plus accrued and unpaid interest on the Bonds (if any), up to the applicable date fixed by the Issuer for redemption.

The applicable redemption price is determined by reference to the date fixed for redemption occurring in a relevant six month interest period beginning on the scheduled ‘interest payment date’indicated below:
Interest Payment Date Additional Redemption/Bonus Amount Redemption Price (percentage)
13 May2019.........................................................5.85% 105.85
13 November2019...............................................5.36% 105.36
13 May2020.........................................................4.88% 104.88
13 November2020...............................................4.39% 104.39
13 May2021.........................................................3.90% 103.90
13 November2021...............................................3.41% 103.41

That's where the 103.9p figure came from in one of the earlier posts.

However, this clause of the recent , "(iii) Condition 6(c) (Redemption at the option of the Issuer) to allow the Issuer to redeem the Bonds at a redemption price of 100% of their principal amount in respect of any redemption at the option of the Issuer occurring at any time after the Interest Period beginning on 13 November 2020 until the scheduled final maturity date; ", looks like it's capping the buyout at 100p and no interest.

Still a jig, but not as frenzied a jig as 103.9 + 3.9% would have been

[zzaxx99] 18/5/2021 20:48

I'm also with Bell, and had the same message today.

1 year before maturity isn't that suspicious - I've held other bonds which allow them to be redeemeed on specfic dates before the final maturity, and it's usually on the anniversary of the maturity date.

[aringadingding] 18/5/2021 20:36

I'm also with AJ Bell and got the same message.

If it was the case that they were going to redeem bonds as of the holder list on the 13th May then you might say there does not need to be a public announcement... But that doesn't seem possible because what if people had bought and sold post that date... they would also need compensating.

But then if it's the people as of the time of the announcement that are going to be redeemed then others would need to receive the message as well, otherwise they might pay an unfair price (though seems unlikely...).

Also what happened to 30-60 days notice... unless that was implicitly removed in the consent solicitation.

so has anyone else other than AJ Bell account holders received the message? I am definitely suspecting an AJ Bell error now. Exactly 1 yr before scheduled maturity seems suspicious.

[emmarg] 18/5/2021 19:27

im with aj bell and had same message

[dandigirl] 18/5/2021 18:55

Thank you JGH03, sorry I hadn’t seen yours before posting my last. Just wondered if I am going mad!

[dandigirl] 18/5/2021 18:49

Surely there is someone else with Bell. Notification would be under Corporate Actions. Thanks.

I do wonder if this is a Bell mistake? Their admin has much to be desired these days.