Record a Merger in myICLUB.com
The following steps describe the basic steps for entering a merger in myICLUB.com.
For information on specific Mergers, please see the Mergers section of the FAQ site at:
1) Select Accounting>Securities>Merger
2)Transaction Date- type the date directly into the Transaction Date field.
3)Merging Company from the drop-down list, choose old company, the one you held prior to the merger.
4)Number of Daughter Companies In general, this is just one. If you received stock in more than one company as a result of this merger, record the number of companies in which you received stock.
Click continue to move to the next page.
5)Price per Share Skip this field..
6)Symbol of the new company Enter the ticker for the security that is acquiring the security you owned.
7)Shares Received Enter the number of shares received. You must include any fractional share if cash was received for that fractional share. Club Accounting will then automatically enter a Sell transaction for the fractional share for you for the amount entered in the Cash Received field.
Note: If your statement shows cash-in-lieu of a fractional share, but does not give the size of the fractional share, you can calculate the fractional share. Multiply your shares in the old company by the merger ratio. The ratio should be in the information packet sent by the old company. It is nearly always posted on the web sites of both the old and new companies.
The club owned 9 shares of Stock ABC.
Each holder of ABC received 1 share of XYZ for each 2 shares of ABC they held.
The club received 4.5 shares of XYZ
The 0.5 shares are sold off at the going rate of XYZ on the date of the merger. If that's $20, the club gets $10 cash-in-lieu.
8)Price per Share Enter the price of a single share of the new company on the day of the merger.
9)Cash Received Enter any cash received in place of a fractional share. Club Accounting will then automatically enter a Sell transaction for the fractional share for you for this amount and any fractional share entered in theShares Receivedfield. The transaction cannot be saved if an amount is entered here but no fractional share is included in theShares Receivedfield.
10)Account- select the account to receive any cash-in-lieu from this transaction. The dropdown list includes all active accounts.
Click Submit to complete the transaction.