Done! Thanks.
Sure, thanks for the clarification.
Hi so for this case we will still use the same formula based on what you gave previously ( Any feature to cater for upcoming potential CCT and CMT merger? ) but be using the 19 Oct CMT close price of 1.93?
so it will be like this as follow?
Create a sell transaction for all your CCT (SGX:C61U) shares at price 0.72 x 1.93 + 0.259 = 1.6486.
Create a buy transaction for CMT (SGX:C38U) of 0.72 x number of shares of CCT that you had at price = 1.93
Hi Jordan,
Yup. That sounds about right. I have also updated my earlier post so that readers do not have to scan through the whole thread.
Cheers,
Evan
Hi Evan,
Thanks for the formula for the CCT/CMT merger. Just to be sure I have understood it correctly, my bank custodian debited 7800 CCT shares and credited me with 5616 CMT shares. Using your formula I would have sold my CCT shares for $12859.08 (7800 x $1.6342) and I would have purchased 5616 CMT shares at $7723 (0.72 x 5616 x$1.91). Are my figures correct. Thanks
Petra
Hi Petra,
Sorry for the confusion. You should do this instead
Create a sell transaction for all your CCT (SGX:C61U) shares at price 0.72 x 1.93 + 0.259 = 1.6486.
Note: 1.93 is the price of CMT on 19 Oct 2020.
In your case, it means Sell 7800 CCT shares for (7800 x 1.6486) = 12859.08
Create a buy transaction for CMT (SGX:C38U) of 0.72 x number of shares of CCT that you had at price = 1.93
This simply means to buy 5616 CMT shares for (5616 x 1.93) = 10838.88
Cheers,
Evan
Many thanks for the quick response Evan. I realised that my custodian had already calculated the the 0.72 factor for me when I tried inputting the info into my portfolio. Your response confirms my earlier mistake and my later correct understanding. Thanks again!