What if a company moves to another stock exchange?

Hey guys, there has been talk in the past of Shell leaving the Amsterdam stock exchange and moving to the London one instead (I believe due to tax reasons, although they don’t always admit it openly).

But that got me thinking. I own stock in these companies and bought them on the Amsterdam stock exchange with Bux Zero.

With Bux I can’t trade on the London stock exchange, right? So what happens to my stock in that case?

Would I need to sell my Shell stocks before they delist from the Amsterdam exchange?

Thanks!

1 Like

Hi @yohhst i don’t think so! Because you already have them.

It will be weird if you must sell them… No worries!

1 Like

Hmm I didn’t mean forced to sell necessarily. My main point is: as you cannot trade on the London stock exchange with Bux, would this mean you hold a stock that you can’t sell anymore via broker Bux?

@Fergus perhaps you could enlighten us? What would be the consequence for a Bux user who holds a stock that gets delisted from one of the stock exchanges accessible through Bux, say Amsterdam, and moves to a stock exchange that isn’t, like London (see my example above)? Would the user keep the stock but be sort of stuck with it, as they can’t sell it on Bux? A bit similar to me with my accumulating ETFs a while ago. :wink:

3 Likes

Maybe they can still offer Shell. They don’t have the LSE due to the expensive offering and ofcourse BUX need to make money on it. But I foresee that BUX will make an exemption in this case to just offer shell on the LSE cause it is very popular

1 Like

@DaveyV19 I suppose you’re right.

This listing on multiple exchanges is still not always clear to me. For example, I have Unilever stock and noticed the net dividend I got in Bux is the same as the gross dividend. The withholding tax (voorheffing) is zero. I know there is no tax on dividends in the UK, so I suppose this stock is also actually traded on LSE through Bux, and not Amsterdam. Of course I won’t complain about the zero tax… :wink: Maybe it would be good if Shell did the same haha

1 Like

Hi @yohhst, @Cornel and @DaveyV19,

The scenario you describe (Shell to delist from Euronext and move to LSE) would put us up for a little challenge, but nothing is impossible. Shell is one of our most traded products, so we would obviously do everything in our power to keep offering it.

However, the scenario of Shell moving from Euronext to LSE is actually very unlikely to occur. Shell is a large company with many shareholders whose interests they need to protect. Moving from Euronext to the LSE could potentially damage their relationship with its’ current shareholders. Even if they make such a move, they would only do so if they can guarantee a smooth transition for all existing shareholders (trading in EUR, no stamp duty, et cetera). And when that happens, we (BUX) will be ready, so nothing to worry about :wink:!

Best,
Jimi - BUX Zero Operations

5 Likes

Cheers for the info, @JimiBUX !

2 Likes