Micro Focus + Custody Asset Shortfalls

Hi there!

I was informed on the Corporate Action event that got passed on 29th April relating to Micro Focus International plc (Ticker: MCRO) which would impact my shares (of which I only held 1). As these things happen, and I would have been left with a fractional share after the event, I was informed that I would have the money value of the fractional unit attributed to me following the corporate action (minus costs to Micro Focus).

I noticed that the stock is not available to trade in Freetrade soon after I was informed, but I still had the 1 unit attributed to me in my portfolio. This evening I wanted to check how it was going with the stock in my portfolio, and it had gone, and (although I haven’t checked thoroughly) my portfolio has the value of that share missing.

Question for the community: Does anyone else hold Micro Focus? What are your views on it

For the Freetrade team: if there is a shortfall in the client level portfolio (specifically for me and potentially others impacted), do you still have your books and records at an aggregate level in your depot accounts to show those units?
How do you attribute the shortfall at client level to that specific client? Are those records kept separate from the visible front end of the app?
When you have a discrepancy identified in your internal custody record checks (either by reconciliation or other method), do you segregate a cash equivalent in a client money account or have a way of attributing units from another depot (proprietary business?).

Thanks!
Yas

Have you contacted in app chat? My guess is they’re processing it and it’ll appear soon but you’d need to check with them

That sounds like a corporate action event. Get in touch with support to figure out what’s happening. There are many things around takeovers, mergers, demergers, stock splits, reverse splits that need to be processed on case by case basis.

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