A merger is when two companies merge to form a single company.

How will shareholders be affected?

If you are the shareholder of a company subject to a merger, you should receive a message to let you know when the merger will happen and what will happen to your current holding.

You may receive some cash or shares in place of your original holding. If the shares of the company are not already supported on the Freetrade app, the new stock will be reviewed for addition to the platform, but there is no guarantee that we can add it. You may receive a cash payment instead.

Any entitlement to shares may be rounded down to the nearest whole share, in which case you would receive a cash payment for your fractional share entitlement. Alternatively, your shares may be issued including a fraction of a share, up to 8 decimal places.

Once the corporate action has been processed and your portfolio has been adjusted accordingly, you will receive a confirmation message in-app. Due to our current corporate action process, any cash in lieu or newly received shares will not appear as an item in your Activity feed, but will be added to your account.