wish I knew -- sum of the two should be better than the two parts
have not seen/heard anything about a dividend for the new IGT so that would add consideribley to the bottom line + efficiencies from the combination
IMO- things will be moving up as they start reporting info
I doubt you actually lost money on the transaction - could be your brokerage's acctg
Im certain I had a nice gain on the same transaction - even for shares bought on 4/6
my fidelity acct shows a cost basis of 20.19 for the new shares - which seems too high to me
I bought more today as I believe there will be nice synergies from this combination
my fidelity acct now shows a cost basis of 20.19 - scottrade still shows -0-
Im thinkin neither of these accts will show a 2015 gain on this transaction
when I sell the shares in my scottrade acct I will need to provide a cost basis for taxes
same here - wondering if it will be reported as paying us 14.3396/sh for our old IGT and -0- cost basis on our new IGT.. seems like there should be a cost basis of the diff in 4/6 sp 17.70 and 14.3396 ????
hopefully someone can figure this out for tax planning
my scottrade acct handled everything Tues am - new shares - pd off margin, etc, etc
had same buys in fidelity acct and they are still dragging the process out - have seen
same before - fidelity likes to skim all the margin they can out of a deal so they drag
any margin process out to the max
does anyone have an idea of tax reporting by brokerages on this transaction??
will the cash be reported as proceeds on a sale of your igt ? and what value given to the new IGT shares??
Relax -- your original shares are GONE as you knew they would be
you did good on this deal - don't sell anything
there are many funds that hold S&P socks, etc that have to shed their positions in a deal like this --- and some just don't trust their hard earned money in EU companies
lookin forward to tomorrow
so - your cost for the 181sh of newco is about $3330 - right?
if newco opens where gteck closed =$22.36USD [see GTKYY ]
your 181 newco shares will be worth $4047 tomorrow
I don't think the avg igt price used in the calc has anything to do with the newco price
gteck shares will convert directly 1-1 to newco
Im just thinkin
this may be the reason for the big volume in igt and GTK Friday
someone correct me if I am wrong:
Say you bought 550sh igt Friday @ $17.77 = cost $8885
you get 550x$14.3396 = $7169 cash
you also get 550 x .1819 = 100sh NEWIGT
net cost $8885 - $7169 = $1715 for the 100sh of NEWIGT
IF GTK converts to NEWIGT at Fridaay close of $21.15
you made $4.00/sh over the weekend on your new share purchase???
IF GTK/IGT goes up on the 7th you do even better
IF it goes down you don't do as well
Im thinkin it will hold or rise.......
we get $14.3396/sh cash = 65cents extra
+ the max number = .1819sh of new IGT/ igt sh
not sure where GTECH/holdco will be on the 7th but things are looking good at this point
thanks - looks like we are looking at same assumptions
looking forward to see price of new IGT a few days after the close.....
Im thinking the newco will be a keeper