National Grid Rights Issue - T212 facilate?

Hello

National Grid have announced a rights issue at 645p per share for existing shareholders. Is this something T212 will be able to facilitate?

when do/did you need to own the shares to qualify for the rights issue (sorry I avoid yahoo because of the hundreds of cookies that they try to install)

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Doesn’t say in the article, but pretty certain I would qualify as I’ve held the shares since last April.

However totally academic question unless T212 support it.

I think it was Monday (20th) so anybody buying now can’t subscribe

" The Prospectus contains further details of the Rights Issue and will be posted to shareholders of the Company that have elected to receive hard copies of such shareholder documentation as soon as practicable. The Prospectus is also available on the Company’s website, www.nationalgrid.com."… I can’t find it, anyone?

We are aware of the event, and when we receive access to it, we will pass it on to eligible clients.

@Rav, happy cake day :fist_right: :fist_left:

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That’s fantastic news Bogi, thanks so much.

Happy cake day - doesn’t seem to be published yet!

https://www.nationalgrid.com/search-documents?query=Prospectus&searchlocation=header&order=pubdatesort&sort=desc

I can confirm that I received the email from T212 yesterday asking if I wished to subscribe to this, something I’ve done this morning. Thank you so much T212 for facilitating this.

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I said yes too but if I’m completely honest, I have no idea what I agreed to. This hasn’t come up for me yet on my journey.

Buying one National Grid share for a reduced price of £6 something?

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Hello,
Don’t wish to state the obvious or be in any way patronising but you should never sign up to something if you don’t know what it means!

In basic terms for the purpose of this, you need to have enough money in your account to cover the purchase of however many shares you will be entitled to, there will be 7 shares purchased for you to cover every 24 you already have (plus they seem to be doing pro-rata for everything that doesn’t quite reach 24). So you have to have the money to cover that.

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As far as I am aware, this is pretty much it. They are looking to invest heavily, and need the funds now to execute their plans. To encourage people to provide capital, the new shares were issued at a discount to the current market share.

You can purchase 6 new shares for every 24 held.

If we go shares prior to the announcement were worth 1100p

24 shares then would have been worth 26,400 pence.

You have an option to purchase 7 shares at 645pence.

7 x 645 = 4515 pence to buy 7 shares.

You now have 31 shares at a value of 30915 pence, or 997 pence in the market all things being equal.

Right now the shares are trading at 846 pence, and you have the option to buy shares at 645 pence.

The problem with the fund raise, is that they need time to build the new infrastructure to see the revenue, which is potentially why the share price is dropping further. That and people might be happy with diluting their share of the company, and purchasing discounted shares at 645 pence, and selling at the current 846 pence.

You will need to read the prospectus to understand what the additional capital raise will be used for, and its potential impact on the companies future.

Some good reading:
PowerPoint Presentation (nationalgrid.com)

Grid for Growth | National Grid Group

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I’ve been burned on this by FT. Good to see that T212 are able to accomplish a simple task. As such I’m thinking of moving over. I see that in species transfers are available from FT, but it looks like they are being rolled out and should be available to everyone soon. If I were to make a new account would I have to wait before I could do a transfer in of an ISA?

Also to users of both FT and T212:
What would you say are the major differences?
What does either do better?
If you’ve made the move any regrets?

thanks

Gosh, where do I start?

Firstly, the most obvious is FT costing around £7 per month for your ISA, while T212 is free.

Customer service - non-existant with FT; with T212 you get an answer on the forum or over email the same day. Ever wanted to withdraw money from FT? You will wait at least 3 days, with T212 it is there the next day if you with draw it in the morning. You also get the money pretty much immediately with T212 when you sell a stock, with FT it “settles” for ages!

Continuing on the customer service theme, have you ever tried requesting anything from FT? Well, if you do it on the forum, you will find it sits there without FT staff taking any notice of it whatsoever. Over email I’ve tried asking them to be able to sort portfolio alphabetically; to adjust average price after events such as GSK/Haleon split, etc. Eventually FT support effectively told me to pipe down and they will get back to me when there is any news (i.e. never). To add insult to injury, FT use FIFO rather than AVCO to calculate stock purchases and sales which gives you a totally inaccurate picture of gains and losses. They’ve completely ignored requests to change that.

Try buying REITs with FT and you end up with this circus where they deduct the tax, then say they are reclaiming it within 30-60 days. Then they might put amounts into your account after 90 days without telling you which transaction it refers to. T212 simply don’t deduct the tax.

Dividends are nearly always 3 or 4 days late with FT. I don’t remember when it wasn’t same day for T212.

When I was trying to switch from FT to T212 (April 2022), they left my money sitting there not being transferred for at least 2 months before I eventually ripped the plaster off and simply withdrew it, losing the tax benefits of course! They had the nerve to say that they would send anyone who followed up about it to the back of the queue.

Obviously you’ve now seen how FT have handled the National Grid rights issue. One of the many examples where they are not just incompetent, they actually cause their customers outright financial harm!

SIPP is probably the one thing that FT do that T212 doesn’t but it’s in development as I understand. I’ve seen several people say they will wave goodbye to FT as soon as the T212 one is ready. Hopefully that will sink FT completely.

I could go on but I think you get the picture. FT’s obstructionism made switching to T212 inconvenient and cumbersome but I’ve never regretted it for a moment. If you’re still thinking about it, stop thinking and just do it! I can’t promise you won’t regret it of course, but I find it very difficult to believe that you will.

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I don’t have a SIPP as I have a decent pension scheme through work where if I were to roll it into a SIPP I’d actually lose out on a lot of benefit. As I said on the FT forum I’m small fish, I hope to grow and I deposit £500 pcm and currently have ~26k in shares in an ISA, so losing the tax advantage wouldn’t be impossible, but I’d like to keep it all inside the tax wrapper.

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Lots of small fish add up to a big catch.

212’s only issue which is minor is they sometimes over promise a lot. They also try to answer as many queries as they can on the forum which is great but must take time away from elsewhere.

They used to be slow at paying out dividends, and the share limits is a bit annoying but mostly doesn’t impact me.

I also remember what 212 offered when I first signed up, and they are visually continuing to improve that offering.

If you want the ability to trade quicker through counterparties on less liquid stocks then you need to go elsewhere and pay the fees for it. We just need to remember what we signed up for, and that is getting better all the time.

I once looked at investing in FreeTrade through Crowdcube, but I just couldn’t see what their competitive edge was in the market. I’m all for more providers to give us better choice and hopefully value, but 212 are doing that right now. Even with the uproar on the 0.15% FX fee, it’s still in my eyes cheaper/better than the rest.

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You spoke like a true Portuguese, my friend.
Great minds, think alike.
:slight_smile:

To be fair, I’m sure it would have been done eventually, but I had less than £20k and nothing to put in year 2022-23 so I could afford to do that. I would advise you to simply start the process; put in an official complaint after 30 days when it’s supposed to happen and then contact the ombudsman. Unfortuantely you have to wait 8 weeks between the complaint and the ombudsman, which I think is criminal. It will get done eventually, unfortuantely expect it to take time and probably be a bit painful! But, as I said above I think, rip the plaster off - it will be well worth it in the long run!

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