Selling rights

[Bonjee]

help please, with the CPI rights issue, i have an option to sell the rights at market price. how does this work? OST sent me email saying that I can just use the normal way of selling shares but this looks like I'll be selling the shares themselves and not the rights... can someone explain please.

[#2]

When the rights are offered you will get a new set of shares in your portfolio, named CPIN. You will get 1 CPIN for every 10 CPI you own. These are the ones they are referring to that you will be able to sell (or buy more of) on the open market (option 2). The price of these shares should reflect the difference between the ruling price of CPI and the R125 offer price...Each one of these CPIN shares entitles you to buy a new CPI Share for the price of R125 each...this is option 1 and is commonly refferred to as "following your rights"... just remember if you want to buy more CPI shares at this rate you have to inform SB and you have to pay the money up front...not very clear I'm afraid but then again neither was the e-mail...:)maybe call the help desk for a more professional explanation!!

[Bonjee]

I'll wait for the CPIN shares (not mentioned in the email) to appear on my portfolio then... great stuff, much apprecited.

[Bonjee]

Oops, just double checked... its on the email that these shares will be on my portfolio by the 31st of Dec. my bad!