# "Stapled" shares?



## DionM (20 August 2007)

Looking at BBP, they have the annotation "stapled" in the description ... what exactly does that mean?


----------



## GreatPig (20 August 2007)

Stapled securities are where two or more separate securities are traded as a single entity. Typically they're things like listed trusts where one security might be the units in the trust and the other security shares in the management company.

While I believe the tax treatment of them has to be separate, from a buying and selling point of view, you can treat them like any other share.

Cheers,
GP


----------



## bvbfan (20 August 2007)

Best to check prospectus for the issue (company)

It could be after 12months of listing the stapled security might split into an ordinary share + an option to buy an ordinary share at the original issue price.

Fat Prophets had something similar.


----------

