Today they have fallen 22% to a new low of 223p ..are they another Marconi..?



The chart looks like one long suicide note.

Hopefully by Friday I know whether I can order a BMW series 1 coupe (black with red leather seats).

so long as it's very old and tatty you should be ok

Dinky or matchbox :-)

Does anyone understand how the combined Bank will affect shareholders?

Currently LLOY is yielding double figures and I understand this will be paid, but later on, payment will be in (joint)shares, presumably this saves cash, but the re-selling by Institutions will suppress the sp each time there is a (share-)Divivend.

However, the problem I have is whether the same dividend will be spread over the (larger) number of shareholders....which wouild represent a fall of maybe 40% - a neat way of lowering the yield without losing face . . . . I hope not.

The reason the Yield (for LLOY) is so high is simply that the sp has fallen so far.
It may be that LLOY is a safe-bank and of better quality than many others . . . . but when combined I suspect this situation might change . . . . so I will want a larger dividend to support the increased Risk ( i.e. when Combined).

How do others see the risk/reward, Before/after . . . . . ?

i see GS has cut HBOS target price to 220 ...... well i could live very happily indeed with that price!

CNBC have just reported that their sources say the deal has been renegotiated to 0.6 from 0.83.

If true then at current LLOY price and if my maths is correct then HBOS = 159p

If that renegotiation was a done deal then I think the market would have reacted by now. HBOS is currently over 10% above 159p

Yes that is what I don't understand. Possibly MM's trying to get more on board before dropping the price?

Don't know frankly...

M&G says backs original Lloyds-HBOS deal
AFX


LONDON, Oct 2 (Reuters) - M&G, a major shareholder in HBOS Plc. and Lloyds TSB said on Thursday it supported the takeover of HBOS by Lloyds under the original terms agreed.

M&G is the second major investor to formally back the deal on the original terms after Standard Life Investments on Wednesday gave its support.

'We support the deal on the terms as announced,' the fund manager said in an email.

M&G is the sixth largest shareholder in both HBOS and Lloyds, according to Thomson Reuters data.

Yes that's why the sp rocketed yesterday.

Not sure what's going on now so certainly not buying in.

what a cracker! ..... shame i sold 1/3 yesterday, but that was at a 38p profit and was prudent profit taking ..... shall not be buying more at these levels, and may prune again around an arbitrary 210 level

very bizarre. CNBC still saying the same.

guess I shouldn't be surprised in these mkts!

saying the same as what?

HBOS are issuing 1 additional share for every 38.2207578 held in lieu of the 2008 interim div. Ex-entitlement date was 1.10.08. Issue date around 6.10.08.

read earlier post.

Wells Fargo and Wachovia agree to merge which might explain this upside.

thoght Wachovia was taken out several days ago by JP Morgan

apparently not

as you said ..... just pulled from cnnfn.com site ...... AIG: keeping core property, casualty insurance business and seeking buyers for other units. Wells Fargo, Wachovia to merge.

Also BOE collaterol auctions opened up