Workspace Share Discussion Threads

[brando69] 13/7/2011 14:44

neither does he, i suspect

[purplebox] 13/7/2011 13:13

red army - 13 Jul'11 - 09:13 - 7518 of 7518

Withe the prospects of consolidation coming up that means that the shareprice would need to rise to around £25 per share in order to get back up to its previous highs.

I don't understand how you get to this figure?

[red army] 13/7/2011 09:13

Withe the prospects of consolidation coming up that means that the shareprice would need to rise to around £25 per share in order to get back up to its previous highs.

[typo56] 12/7/2011 20:07

purplebox, I forgot about that dividend earlier which isn't paid on the rights shares. That actually makes it a little worse today. From last night's close of 28.25p I now make the theoretical equivalent prices today:

WKP: 27.31p
WKPN: 3.76p

[purplebox] 12/7/2011 17:52

Closed at 26.5p - I was a buyer this morning :-).

They were always going to fall today (effectivly they have lost value by going ex-rights) - it was a bad day to go ex-rights, but thats outside the BOD's control.

They trade ex-div tomorrow (PID 0.55p) so may get marked down again but after that if they remain strong they will trade back up to the pre RI price over the next few months.

As I have not sold I will be taking up all my rights.

Also remember that the 1 for 10 share consolidation is due at the end of the month putting the share price in the 285p/315p range, and that's going to be another issue that will muddy the waters a bit.

But the fundermentals are unchanged.

[red army] 12/7/2011 17:24

I was happy to sell part of my holding as I started to buy these at 14.5p so took some profit.
At this level a bit of a no brainer as they can do a lot with £63m.
Will be taking up my full rights in any event.

[melody9999] 12/7/2011 15:21

would have been better to sell most of my shares when the WKP price was 29.5 though - sea of red today.

[brando69] 12/7/2011 14:53

would have been better to sell at 29.5 without rights than to hold and get them as far as I can see

[red army] 12/7/2011 12:48

Well in any event there will probably be not much in it in terms of buying your rights or waiting for the market nervousness to pan out.

[brando69] 12/7/2011 08:36

typo

thanks for that summary - clear and concise...

[typo56] 12/7/2011 08:31

Oh dear, this old chestnut.

Shares traded yesterday were entitled to the rights (cum-rights). So if you sold all your shares yesterday you are not entitled to any rights.

Shares are trading today ex-rights. Rights entitlement is based on ownership at close yesterday. So if you held last night you can sell this morning and still receive the rights, even if you only bought the shares just before close yesterday.

The nil paid shares are now trading, ticker WKPN. You now hold one WKPN share for every four WKP shares you held last night. You can now sell your WKPN shares, or pay 23p per WKPN share to convert to WKP shares, or simply let them laspse and receive your share of the rump payment.

Based on a closing priced yesterday of 28.25p the theoretical equivalent price this morning would be 27.31p for WKP and 3.76p for WKPN.

(20:04 Edited values to take account of 0.55p dividend)

[brando69] 12/7/2011 08:18

so based on that drop, was it worth hanging around for the rights shares?

[brando69] 11/7/2011 13:24

if you buy today you CAN'T get the rights... though you can buy other people's rights as of tomorrow, that's how i understand it

[melody9999] 11/7/2011 10:20

Brando 7503 - that is the way I understand it - unfortunately I sold some on a wrong premise too.

Catchee 7502 - not quite - you will need to buy the rights shares - if you wish - so the next step would be an advice from your broker.

IMV share price might be affected on 2 dates by this action. Tomorrow as the ex date and on the 27th when people might immediately sell their rights entitlement.

As I've sold a few, either of those dates might therefore present a buying opportunity....and if many investors are thinking like me we might not actually see the share price move that much.

[catcheemonkee] 11/7/2011 10:11

So buy today, get the rights!

[brando69] 11/7/2011 08:32

I asked cyberspace on the SEA board - he's been aorund the houses. His answer seems to chime with yours CM

[catcheemonkee] 11/7/2011 08:30

Mine is only a theory - anyone know for sure?

[brando69] 11/7/2011 08:28

so red army lost his entitlement to the rights for the shares he sold?

[catcheemonkee] 11/7/2011 07:51

I think I've finally got it. My theory: at the end of the day the ex-rights date is the important one. The company will however sort everything out according to the list of holders on the record date. Shares bought and sold between the record date and the ex-rights date will have the rights transferred by the brokers. A bit like the ex-dividend date and record date with regard to dividends (only in reverse...) So tomorrow should we see a price drop of around 1.5p and some 'rights' appear in our portfolios?

[melody9999] 10/7/2011 23:39

As I understand it, the point of the record date is that you must hold the shares on the record date to be eligible for the rights issue. So if you do not hold on the record date, you are out of the game. But if you do hold on the record date, you still have to hold until the ex date to get the rights. Otherwise what is the point of the ex date?

The ex rights date is just like the ex dividend date.

[catcheemonkee] 10/7/2011 22:49

So what's the point of the record date being the 5th, then? Are we saying that you need to hold them overnight 11th / 12th July regardless of whether you held them on the 5th or not? Ginger nuts.

[purplebox] 10/7/2011 22:07

Actually - I think that melody's broker is correct.

Shares held on the 5th qualified for the RI but if you sell them before the 12th you sell your rights as well...

[red army] 10/7/2011 18:57

brando69

Thats the way I understand it which is why I sold some of my holding.
I see these holding at around current price until new shares are issued at which point some profit taking will take place.
After that who cares off to the races then.

[brando69] 10/7/2011 15:17

surely as long as you held on 5 July it doesn't matter if you sell subsequently. doesn't going ex rights on 12th just mean that is when the new shares are admitted for trading?

but holders on the 5th july have until 26th to take up their allocation or let the underwriter take them?