Hi, can anyone from this forum or Trading 212 tell me how long it takes for the money from a delisted share to reach your account.
My share in Agrofresh Solutions was delisted on 04/04/23. But still not received any payment to my account.
Does it normally take this long?
Delisting does not mean you get cash.
I don’t know the specifics of this delisting specifically, but in general a delisting just means the shares are taken out the exchange, and cannot be traded anymore or can sometimes be traded OTC.
Delisting is generally not a redemption; if the company was not liquidated, it is fairly unlikely that there would be any cash payment; it just means you cannot trade the stock anymore.
Delisting simplifying is making a company private (its shares are no more traded in public stock exchanges).
Depending on the country where the stock is listed the buyers could be forced to buy all the company’s stocks, and also depends the % ownership the major shareholder has. For example, in country X, if a shareholder holds 90% or more, he must buy the remaining shares and the other shareholders are forced to sale. And when a minimum threshold is meet, the company is delisted, because there isn’t enough shares available to be traded in a public stock exchange.
In most cases, when a company is bought by an investor/private equity fund/company to make it private, they offer to buy all the stocks from all the shareholders during a certain time period, after that the remaining shareholders wishing to remain as shareholder will have an iliquid asset, meaning that it will be very difficult to trade its stocks, being extremely limited on available buyers and on the price wishing to sell.
Also the public information (business, financial and others) on private companies is very limited or even nonexistent. This is one of the reasons to became a private company, to conceal information from the public. The public traded companies are legally forced to disclose a minimum of information to the markets (existing and potential investors).
Thanks for the replies so far. I should make myself more clear. I meant the share was delisted after it was liquidated for ÂŁ2.4/share -because of a takeover by Project Cloud Holding LLC.
So there is money due to me. But wondering if it usual takes this long to get it!
I am vaguely aware that such payments are generally quite slow, maybe averaging 2 or 3 weeks.
Sometimes it can take longer as well; but rest assured that if money is due to you, it is coming. Sit tight!
Update: I was browsing through the Pies in my account and found the missing money in the one named “Agribusiness” that I created
previously. It seems that when the shares were liquidated the money went to the “cash” part of the Pie. I thought it would go to the “free fund” of my account.
Anyway lesson learned and I have just withdrawn the money from the “cash” to the “free fund”.
Thanks to everyone who took the time to reply.
