Anybody else holding Prudential shares? what are your thoughts
Demerger Ex-entitlement date: 21st October 2019 Terms: 1 share in M&G Plc for every Prudential Plc share held Pay date: 21st October 2019 Prudential Plc has announced a Demerger, whereby holders will be issued with 1 share in M&G Plc for every Prudential Plc share held. The ex-entitlement date is 21st October 2019. Accounts will be updated upon receipt of the stock from our custodian. Your account will be updated upon receipt of the proceeds
No, it depends on how much the parts are seen to be worth. The share price now is a function of Prudential and MG. So SP = Prudential + MG
After they will be valued separately which might benefit either or not and can lead to a combined price that is lower or higher than it is now. Usually separate companies are valued higher than conglomerates.
Since Prudential is the parent company, it will most certainly be worth more than the off-spun entity.