What happens to my shares after a voluntary merger considerations election?

Discussion in 'Stocks' started by martingale, Jul 13, 2021.

  1. If I own shares of a company that is being acquired, and if there is a voluntary election of the form of merger consideration (e.g. cash, acquiring company's shares), and I indeed make an election,

    then what happens to my shares? Would I still, after election but before the closing of the merger, be able to sell my shares or lend them out? Or have I actually already "tendered" my shares?

    For a specific example, BPY holders have until 7/20 to make such an election.
    https://sec.report/Document/0001104659-21-082727/

    Thanks for sharing your expertise.
     
  2. newwurldmn

    newwurldmn

    I believe that if you have made your election you cannot sell your shares.

    at least that happend to me a few years ago with a tender.
     
  3. newwurldmn

    newwurldmn

    your broker would best be able to answer the question. For every deal it’s different. In my case i tendered and the i essentially lost the optional org to sell. In the future I will never tender my shares again.
     
    oliviarene likes this.
  4. If tendering is the only way to elect the preferred form of payment (in case the default election sucks), then you may have to tender though.