TUI AG ☀ 🌴 - TUI

Above £16 now, feel like ive lost money. Was happy buying them cheap, in hope it would go up but now its so high it can only fall. Should we sell?

Lost money how so? Are you aware of the recent reverse split and reasons behind it?

Yes, but do you think stock price will rise or fall from here. Id happily buy in at 1.75-8gbp, why a 1 to 10 stock reverse split. Sure they have to pay off loans.

No idea what the share price will do, usually with a reverse split down we go. I recall there being a rights issue at some point this year too. Surprised its holding firm in the £15 range.

I suggest you have a read in full about the recent share consolidation in the investor notes. I fully back why they did it as a business but not so if i was invested in the company wanting a fast return. Im sitting this one out for now.

TUI AG announces launch of a €1.8bn capital increase for repayment of WSF state aid and significant reduction of the KfW credit lines to strengthen its balance sheet

328,910,448 New ordinary registered Shares with no par value of the Company (the “New Shares”) will be offered at a subscription ratio of 8:3 (8 New Shares for 3 existing shares). The subscription price of €5.55 per New Share represents a discount to TERP (theoretical ex-rights price) of approx. 39.85%.

Existing shareholders, other than Major Shareholder Sanctioned Persons or Entities, can exercise their Subscription Rights for New Shares during the subscription period from and including 28 March 2023 up to and including 17 April 2023 (the “Subscription Period”) through their respective depositary banks. Investors are recommended to follow the respective guidelines of their depositary banks.

If I understand this right, say if I have 9 shares I could get 24 additional shares at €5.55?
It seems this has to be done via “respective depositary banks”. Is this possible with FT?

Agnasa

As I understand it Freetrade account is unable to align with the RI (rights issue) process and therefore your ability to purchase via the RI shares will not work, or at least that was what FT advised some 2 weeks ago.
Frustrating to say the least as a good opportunity to acquire and build the existing portfolio
Good luck
Richard

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Thank you Richard. Indeed a good opportunity lost!

I know, frustrating as I was intending to use the opportunities to buy the RI. As I believe it will grow but to much damage to the share price post RI to hold at this stage :thinking:

What the hell has happened to this stock today ???

New share offer (8:3) but we can’t get any. At best average down.

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Apologies I’m new to this, what does it mean?

Seems crazy that you can lose 50% of your value because they have issued more shares

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The Dangers of Share Dilution

Absolutely shocking!

What blows my mind is why have investors not understood or prepared themselves for what would happen. Tui have given plenty of notice and information to investors and theres a wealth of information on the internet on the process.

Dont be lazy people.

Is it really a case of 50% of value wiped out overnight with no recourse?

Hi I am very new to trading I have shares in tui can I exercise my Subscription Rights for New Shares during the subscription period? My shares are held by freetrade, who would be my respective depositary bank? Help

@Richardharris answered in this thread.. Short answer no FT can’t do it.

Thanks Agnasa for the response

Wonder if theyll do another reverse share split or dilution. Looks to be almost back when it started.