Glaxo / Haleon spin off

[TFFX_]

Hi team, 

Do you have any news on how this will work? I can see the stock (GSK) has dropped based on the list price of Haleon PLC, but I cannot see any Haleon in my account. 

Any information would be very helpful. 

Thanks.

[AndaIG]

Hi @TFFX_

Thanks for reaching out, 

We are are waiting to receive Haleon shares from our broker. Hopefully these will be received by the end of the week at which point they will be booked onto your account. 

All the best, 

Anda

[TFFX_]

Hi @AndaIG

Thanks for the response. 

Can you please explain / elaborate on the what the split is? Was the spinoff 1:1 or another fraction?

I'm still unclear what will be happening with the GSK / Haleon shares and what I should be expecting in my account - how am I suppor to reconcile this?

The valuation on my account is all over the place (with GSK trading back to Friday's levels), so it would be good to understand. 

I'm sure there are other IG client impacted, so maybe a post on the subject may help all impacted clients. 

Thanks, 
Nathan

 

 

 

[PirateRadio]

Most likely the value of investments as on the day (probably Friday) will be cashed out, then could probably everyone can start investing in Haleon.

Heard it yesterday on the Metro in French, not sure if understood correctly, but it seemed that had strong roots and knowledge about chemistry and personal hygiene, brands, development, expansion, mergers and acquiring.  

[AndaIG]

Hi @TFFX_

Thanks for reaching out, 

The company has announced 2 corporate actions, a spin off and a reverse stock split (Consolidation). 

Spin off: the terms are that you will receive 1 Haleon share for every GSK share that you own. 

Reverse stock split: the terms are 4:5. Thus your share holding will be reduced in the ratio 4/5 i.e. you will own 4 shares for every 5 that you previously owned. Share price will increase in the same ratio so that P/L is not impacted as a result of the consolidation. 

Please see some links so assist in the understanding of these kind of events. 

https://www.ig.com/uk/help-and-support/corporate-events-and-dealing/corporate-action-events/what-happens-to-my-shares-position-if-the-company-performs-a-spi1

https://www.ig.com/uk/help-and-support/corporate-events-and-dealing/corporate-action-events/what-happens-to-my-shares-position-if-the-company-performs-a-stock-split-or-consolidation?cq_ck=1652453574111

All the best, 

Anda

[Kgrp74]

What will happen if you hold GSK ADRs ? 

[ArvinIG]

12 hours ago, Kgrp74 said:

What will happen if you hold GSK ADRs ? 

Hi @Kgrp74,

Looks like the Pay date for the Haleon shares from the GSK ADR is tomorrow. You should receive your the Haleon shares tomorrow.

Thank you - Arvin

[Kgrp74]

On 20/07/2022 at 07:59, ArvinIG said:

Hi @Kgrp74,

Looks like the Pay date for the Haleon shares from the GSK ADR is tomorrow. You should receive your the Haleon shares tomorrow.

Thank you - Arvin

Thanks so much. I'll check at 14:30 today then.

[SHODGSO]

My Haleon shares are in my account, but the original cost of the GSK shares has disappeared, making it very difficult to know what my position is with the GSK/Haleon shares as the cost is currently nil. Is there any plan to re-instate/pro-rata the cost?

 

Thanks

[Kgrp74]

You can edit book cost on the app and change the cost basis there for your GSK shares. I just used orginal purchase price times fewer shares then assumed cost basis of opening stock price of Haleon as purchase price. 

[Kgrp74]

On 20/07/2022 at 07:59, ArvinIG said:

Hi @Kgrp74,

Looks like the Pay date for the Haleon shares from the GSK ADR is tomorrow. You should receive your the Haleon shares tomorrow.

Thank you - Arvin

I still haven't received my Haleon shares. I should have received 27 shares for the 27adr GSK that I own. I just have 21GSK shares and no Haleon. 

[ArvinIG]

On 22/07/2022 at 19:06, SHODGSO said:

My Haleon shares are in my account, but the original cost of the GSK shares has disappeared, making it very difficult to know what my position is with the GSK/Haleon shares as the cost is currently nil. Is there any plan to re-instate/pro-rata the cost?

 

Thanks

 

On 22/07/2022 at 20:01, Kgrp74 said:

You can edit book cost on the app and change the cost basis there for your GSK shares. I just used orginal purchase price times fewer shares then assumed cost basis of opening stock price of Haleon as purchase price. 

Hi @SHODGSO,

That is correct, after a Corporate action (CA) you will need to edit your book cost as the CA team will need to sell and re-book your shares at the price of 0 to process the event.

You can details on how to edit your book cost here:
https://www.ig.com/au/help-and-support/investments/share-trading/how-do-i-edit-my-book-cost

Thank you - Arvin

[ArvinIG]

13 hours ago, Kgrp74 said:

I still haven't received my Haleon shares. I should have received 27 shares for the 27adr GSK that I own. I just have 21GSK shares and no Haleon. 

Hi @Kgrp74,

It seems that shares were credited to your account, could you please confirm if there is still missing shares?

GSK had a Reverse stock split with the terms of 4:5 , I believe that it is the reason why you received 21 GSK shares.

Thank you - Arvin

[Kgrp74]

I own both GSK PlC and GSK ADR. 

GSK PLC - I owned 111 shares before demerger 

GSK ADR - I owned 27 shares before demerger 

GSK PLC - I own 88 shares post demerger + 111 Haleon Shares were added

GSK ADR - I owned 21 shares post demerger + No Haleon Shares added 

Could be wrong but what has happened to the haleon I should receive?

[AndaIG]

Hi @Kgrp74

Thanks for reaching out, 

The GSK ADR Haleon allocation has not been booked yet, our Corporate Actions team have confirmed that we expect to receive these shares in two days. 

All the best, 

Anda

[Kgrp74]

5 hours ago, AndaIG said:

Hi @Kgrp74

Thanks for reaching out, 

The GSK ADR Haleon allocation has not been booked yet, our Corporate Actions team have confirmed that we expect to receive these shares in two days. 

All the best, 

Anda

Ah perfect thanks. It would be nice in future if there was some indication on the trading screens that this was happening like a pending notification or sth. 

 

Thanks for the help,