Shareholders Face Crucial Decisions as Bradford & Bingley Floats and Woolwich Meets Fate

Bradford & Bingley members are facing a critical deadline to decide whether to keep their shares or cash out as the building society prepares to float on the stock market. Meanwhile, Woolwich shareholders are pondering their next move after receiving a mixture of cash and Barclays shares following the takeover. The decisions of these 4 million people will have significant implications for their finances, investment portfolios, and overall financial well-being.

Key Takeaways:

• Approximately 2.7 million Bradford & Bingley members will receive windfalls of 250 shares each, worth between £647 and £815, depending on the stock price at flotation.
• 1.2 million Woolwich shareholders have already received a mixture of cash and Barclays shares following the takeover, with some opting for more shares and less cash.
• Experts recommend that novice investors with no other shares may sell their Bradford & Bingley shares, as holding a single company's shares is not a good idea.
• Seasoned investors are advised to hold on to their Bradford & Bingley shares, as the company has strong business fundamentals and potential for long-term growth.
• Barclays shares have been performing well, but regulators have cautioned against holding bank shares due to market volatility and structural changes.
• A low-cost share-dealing service has been set up for Woolwich shareholders to buy or sell their Barclays shares, charging a flat fee of £8.50 per transaction.
• Members have until December 29 to make their decisions about what to do with their shares.

Statistics:

• 2.7 million Bradford & Bingley members will receive windfalls of 250 shares each.
• 1.2 million Woolwich shareholders have received a mixture of cash and Barclays shares.
• £731 is the estimated mid-point value of the shares if sold at the official windfall estimate of 259p-326p.
• 240p is the predicted share price at flotation by stockbroker Teather & Greenwood, which would mean windfalls worth £600.
• £10 is the selling fee for selling Bradford & Bingley shares immediately.
• £8.50 is the flat fee for buying or selling Barclays shares through the low-cost share-dealing service.
• £600 is the estimated windfall worth if shares are sold at Teather & Greenwood's predicted price.
• November 10 is the date when Barclays shares reached £20.10.

Sources:

• "Should I keep my shares or sell them?" by Rupert Jones.
• Bradford & Bingley official windfall announcement.
• Stockbroker Teather & Greenwood's prediction of the share price at flotation.
• NatWest Stockbrokers' Jeremy Batstone's recommendation to sell Bradford & Bingley shares.
• Barclays Stockbrokers' Ian Hodges' recommendation to hold on to Bradford & Bingley shares.
• Killik & Co's Fred Robinson's advice to sell Barclays shares.