Should we sell our stock before close, or we be cashed out at full value at close? I don’t want to be left with valueless options.
10 replies (most recent on top)
There are some rumors that one year RSU will be accelerated for the employees who will be let go.
Anyone hoping for accelerated vesting is dreaming. Hill gets that, look at the 8-k filing from 8/30/19, but anyone RIF'ed is up a river in a chicken wire canoe. 1.5 M in comp, 1.5M+ in RSUs. The hack is gonna make MILLIONS on selling thousands of us down the river. All those unvested RSUs have to go to someone i guess.
Any change in accelerated vesting of RSUs?
Check local taxes for your region, some places treat dividends as income and will get taxed
RSUs are not options.
I believe the people holding onto unvested RSUs get the $12 when the RSUs mature simply because when granted, the RSUs represented consumer+enterprise, and after close, they represent only consumer. Otherwise you will end up getting shares post-close that don't reflect the company when the RSUs were granted.
As for the $12 distribution, I haven't heard whether the amount will be deemed a dividend (cash paid from post-tax earnings), return-of-capital, or something else. It's not clear to me what the tax treatment of the $12 will be. Someone should probably ask, and the answer will likely depend on the jurisdiction the shareholder resides in.
Whether to sell before or after the close simply because of the $12 per share makes no difference as the market will compensate for this.
The only difference here is:
- Do you expect the SYMC shares to go up until the close of business? Hold.
- Do you expect the SYMC shares to go down until November 1st? Sell.
Unless there is a tax difference (some countries) between dividend and a capital gain. If you get taxed in a dividend but not CGT then ylu’d Want to be selling before the dividend date (and buying back after if you want to own “Norton”
I have read that banks are expecting that after the 12 dollar dividend is paid out that Symantec shares will go down to around $11.50 per share (current price per share minus the 12 dollars).
So if they are right then it is an even swap and you can sell just after the dividend and get the same money (overall). If they are wrong and the stock tanks further then you lose.....if they are wrong and the stock doesn't go down that far, then you win.
Game On!
I would wait.
Just my gut.