Shareholder - Idiot Guide to Required Action?

[Tinkerbell8480]

Ps the £76 figure is a rough estimate the Halifax guy just gave me with a cost of 1.33 euro per share

 

[meryll83]

Just seen another complicated looking email about shareholdings - can anyone explain the basics of what's happening now?

 

[gavcooper]

Just seen another complicated looking email about shareholdings - can anyone explain the basics of what's happening now?

Yes, it would be nice to get the information in these emails in plain English. As I understand it's another chance to purchase more shares, but at €1.25 per share based upon the amount you owned on 20th February 2015.

Someone correct me if I'm wrong and other action needs to be taken.

 

[gavvy]

Hmmm shares are trading at 1.23 yet I have the option to buy at 1.25..... what am I missing here?

 

[Jonjo]

The email yesterday was to remind shareholders of the commencement of the anti dilution mechanism part of the recapitalization plan which started on the 12 October 2015 and will last until 10 November 2015.

The anti dilution mechanism alows shareholders to purchase additional shares from Euro Disney at €1.25 per share prorata of what they owned on 20 February 2015.

Euro Disney shares are trading at 1.23 euros on the Euronext today. During the anti dilution mechanism financial intermediaries do not charge any fees for you to exercise your rights of purchasing more Euro Disney Shares.

A few months ago shares were trading at 1.33 euros and I exect that EDL and TWDC expected the share price to have recovered passed the 1.25 mark when thsi figure was decided upon last October when the recapitalization plan was put together.

 

[gavcooper]

Thank you for confirming Jonjo

 

[meryll83]

Just had another email today about an important notification but haven't had chance to read it yet - can anyone summarise?

 

[cazspence]

Looks like just another chance to buy shares at 1.25

 

[zenith]

Hi there, am I reading the latest notification correctly and seeing I could buy double my shares or not?

EURO DISNEY SCA - OPEN OFFER
EURO DISNEY SCA is proposing an Open Offer on the following basis:
Open Offer through an allocation of Subscription Rights.

1 New Euro Disney S.C.A Ordinary share for each Euro Disney Subscription Right received at an Issue Price of EUR1.25 per New Ordinary share.

The Subscription Rights have been calculated and allocated based on your LOWEST holding of either Ex-entitlement 23rd February 2015 or Ex-entitlement 2nd October 2015 multiplied by 1.00984.

No excess appliaction is available under this Offer.

The Subscription Rights are not tradable nor transferable.


How This Affects You:

Based on your holding of 1009 EURO DISNEY SCA EUR1 SUB RIGHTS DROIT DAA shares on 27 October 2015, which was the Open Offer Ex Date, you have an Entitlement to 1009 EURO DISNEY SCA EUR1 shares at a total cost of 907.23 GBP.

You Have The Following Options:

1 Accept the Offer to buy 1009 EURO DISNEY SCA EUR1 shares at a cost of 907.23 GBP.

We will process your instruction on or after 04 November 2015 23:59. Please ensure funds to take up your Entitlement are available as detailed in the 'How Will Payment be Made?' section.

If you do not have sufficient cleared funds to take up all of the specified number of shares then we will take up the maximum number of shares we can based on the funds available.
2 Accept the Offer to buy a specified number of EURO DISNEY SCA EUR1 shares.

We will process your instruction on or after 04 November 2015 23:59. Please ensure funds to take up your Entitlement are available as detailed in the 'How Will Payment be Made?' section.

 

[Jonjo]

Yes that is basicly the offer - you can buy additonal shares at 1.25 euros from Euro Disney, but they are trading at between 1.23 to 1.24 today on the Euronext so you can buy them cheaper else where.

 

[zenith]

Thank you Jonjo for the clarification.

I don't think there's much added value for me to purchase another 1,000 shares due to the no return. Unless people think they'll increase!

 

[zenith]

I'm still not entirely sure why they should allow me to increase my shares again - originally I owned 100, then used the option available to purchase 900 more.

So why are they granting me the ability to purchase another 1,000?

 

[Jonjo]

The ability to buy additional shares now is part of the anti dilution mechanism.

The share price before the recapitalisation was €3.46, therefore €1.25 per share is the equivalent to the original €3.46 with the augmentation of the number of shares if you took full advantage off the €1 offer earlier in the year and sold those to TWDC for €1.25.

So in theory your investment remains the same if you further increase your shareholding during phase 4 of the recapitalisation process.

Unfortunately due to the CIMA legal action, the whole OPO process had dragged on much longer that was originally planned and now the share price has dropped below the offered €1.25.

Euro Disney shares closed on the Euronext at €1.23 today so at the moment it's cheaper to buy any additional shared you want on the open market.

 

[meryll83]

I notice today's newsletter says they'll be reviewing the new membership criteria with a view to reopening applications for new members.

 

[tennisfan]

I notice today's newsletter says they'll be reviewing the new membership criteria with a view to reopening applications for new members.

That has always been the case but its the criteria that is going to required that is known. I wouldn't be surprised if they increase the number needed & 900 was rumoured a while back. Its a but like a few years back when they increased the number needed

 

[crmscotland]

That has always been the case but its the criteria that is going to required that is known. I wouldn't be surprised if they increase the number needed & 900 was rumoured a while back. Its a but like a few years back when they increased the number needed

Will l still be able to renew my membership just now, my membership expired in May 2015, l own 100 shares?

 

[meryll83]

Will l still be able to renew my membership just now, my membership expired in May 2015, l own 100 shares?

Yep, I did mine a couple of months ago

 

[Jonjo]

Will l still be able to renew my membership just now, my membership expired in May 2015, l own 100 shares?

Yes you can, it's only new applications they are not accepting at the moment.

 

[crmscotland]

Thanks meryll83 & Jonjo

 

[meryll83]

Been trying to get on to the shareholders club website for the last couple of days, but keep getting an error - are others finding the same problem?