BBI - Babcock & Brown Infrastructure

[bandicoot76]

this whole fiasco has been a thinly veiled plot by BBI management to steal the companies assets from BBI shareholders and deliver them on a silver platter to brookfield in an effort to keep their own positions secure!
when i purchased my (considerable) holding of BBI shares it has while i was working on the DBCT X7 coal loading wharf upgrade,
the management there were promoting the fact that the value of BBI assets MINUS their debt was still about $1/share, at the time bbi shares were worth $.25 so after doing some research including talking to various financial advisors (as well as banska's posts on this very forum) i loaded up on them on the knowledge that even if all went bad there was $1 per share worth of assets after debt so surely if BBI was liquidated i would get something back,
this "restructure' is disgraceful at best and downright corrupt at worst!

 

[beaver1024]

Thanks for the lively debate and analysis that has occurred in this thread. This has been a good lesson in analysing prospective value of a company. I leave BBI a little poorer but a lot wiser.

 

[ACE-03]

The consolidation in Lamens terms...

BBI
1) Each BBI holder recieves a $0.04 + continues to hold their shares. (E.g 100,000 shares recieve $4,000 + continues to hold)
2) Each BBI share in consolidated on a 15,000:1 ratio (100,000 shares now become 6shares - rounded down!)
3) EAch share now have a 'value' of $5.08, these shares are currently trading as BBIDA until 7th of Dec, when they will change to PIH

BEPPA
1) Each BEPPA holder recieves $0.062 per share, (A holder of 100,000 Beppa recieves $6,200)
2) Each Beppa share transfers to BBI on a 1:1081.08 basis (100,000 Beppa become 108,108,000 shares)
3) Now you no longer hold Beppa, you hold BBI which is consolidated on a 15,000:1 (7,207 BBIDA)
4) BBIDA has a value of $5.08 per share, these shares are currently trading as BBIDA until 7th of Dec, when they will change to PIH

I was lucky enough to pick up BBI below $.04 and BEPPA at $0.075, so i am (personally) very happy with the outcome.
Todays trading is VERY interesting...starting to appear as a good buy....will see how tomorrow trades.

 

[WinnieBlues]

piece of crap company STILL managed by incompetent fools......the people who led this company down the drain get to keep their jobs, and its all rosy ehhh????

i sold out of beppa while they getting was good....look at the buyers to sellers ratio, more pain to come

when will people learn???????

brookfield has totally bent over the average holder while dr dave and jonathon are sipping a chardy and looking on with a grin on their faces........hell, they even supplied the lubricant to help

 

[nulla nulla]

Hmmmm...I must need more lubricant because I still feel the pain. Tomorrow i get $0.04c per original shareholding in bbi and must make the decission whether or not to buy enough shares to increased my reduced holding to a parcel of more than $500.00 value or wait and see what they offer to do about unmarketable parcels. Somehow I feel i am going to get shafted again.

The good thing is that the funds i receive will probably be sufficient to contribute to a fighting fund for any class action taken against the company and former directors.

 

[bandicoot76]

Hmmmm...I must need more lubricant because I still feel the pain. Tomorrow i get $0.04c per original shareholding in bbi and must make the decission whether or not to buy enough shares to increased my reduced holding to a parcel of more than $500.00 value or wait and see what they offer to do about unmarketable parcels. Somehow I feel i am going to get shafted again.

The good thing is that the funds i receive will probably be sufficient to contribute to a fighting fund for any class action taken against the company and former directors.

be very careful throwing good money after bad my friend! i went down a similar path after CUO was destroyed by similar parasites and the only people who won were the lawyers, and the BBI bigwigs can afford bigger and better and more lawyers than we can... even if they lose they'll keep apealing the decision til you run out of cash and spirit to continue the fight. consider it a learning experience and move on, take your cash and invest it in something decent like WOR or CPB.... at least they have a good management team!

 

[drsmith]

Thanks for the info.

But what use is 2 ridiculous Prime shares? Maybe they should have a buyback of the small unsaleable parcels of shares that they have created.

Not much.

If we were still in the days of paper share certificates you could have at least used that as bum fodder. A buyback may occur to formally exorcise BBI holders from the registry.

The rudest suprise of all awaits any SPARCS holders who converted. I'm still struggling to understand how the directors got away with that.

 

[danros]

The consolidation in Lamens terms...

BBI
1) Each BBI holder recieves a $0.04 + continues to hold their shares. (E.g 100,000 shares recieve $4,000 + continues to hold)
2) Each BBI share in consolidated on a 15,000:1 ratio (100,000 shares now become 6shares - rounded down!)
3) EAch share now have a 'value' of $5.08, these shares are currently trading as BBIDA until 7th of Dec, when they will change to PIH

OK, so lets see if I have this straight...I had 20,000 BBI stapled securities. Now, according to etrade, I have 1 BBI share worth $0.04. If I understand correctly, I should actually have 1 BBIDA share which is currently worth about $4.17 and a payment of $800 coming my way. The BBIDA share will become a PIH share in early December I think?? Will I get a cheque in the mail for the $800??

 

[ACE-03]

OK, so lets see if I have this straight...I had 20,000 BBI stapled securities. Now, according to etrade, I have 1 BBI share worth $0.04. If I understand correctly, I should actually have 1 BBIDA share which is currently worth about $4.17 and a payment of $800 coming my way. The BBIDA share will become a PIH share in early December I think?? Will I get a cheque in the mail for the $800??

Correct, you had 20,000 BBI which you will recieve $0.04 per share for, so you will recieve $800.00.
Those 20,000 shares are now consolidated on a 15,000:1 basis, so 20,000 / 15,000 = 1.34 shares, this gets rounded down to One, so now you have one share remaining in BBI(DA) with a currently trading at $4.17. There are thousands of people in your shoes and i would expect a buyback offer for people with few shares.

 

[WinnieBlues]

no interest at all in this crap company...

still managed by the same people who had their heads in the sand, and left everything to the last minute

stilll have westnet rail and euroports in the coffers...westnet needs major upgrading through the network and euroports was a disaster purchase, for which bbi got screwed offloading some for bugger all

and bbi management get to keep their jobs.......they are the unflushables.....you can't get rid of them no matter how hard u try

 

[nulla nulla]

I just checked my bank account for the receipt of the bbi capital return promoted as being $0.04 per share prior to the General Meeting to approve the restructure and to my disgust I find that I have only received $0.037978591 cents per share.
On ringing the Registry I am advised that there has been an amount withheld but they can't advise me why. This is a capital return not a distribution accordingly there shouldn't be any tax on it.
In my opinion these people have to take the award for the most corrupt, misleading and incompetent people that have ever been appointed directors of a company. I have held these shares for a very long term and it appears the people feathering their own nests at the expence of the directors have failed in their duty to disclose that the $0.04c capital distribution in the restructuring proposal would be subject to withholding amounts. I also wonder how many people bought shares at $0.035 thinking they would get a return of $0.04 when the restructuring went through unaware of a non disclosed withholding?

 

[beaver1024]

Will I get a cheque in the mail for the $800??

If you haven't already entered direct debit details to the linksharemarketservices site then they will send the distrubution to you in a cheque.

Hmm, what should I spend my meager amount on as comfort spending for having a lost so much value?

 

[ACE-03]

I just checked my bank account for the receipt of the bbi capital return promoted as being $0.04 per share prior to the General Meeting to approve the restructure and to my disgust I find that I have only received $0.037978591 cents per share.
On ringing the Registry I am advised that there has been an amount withheld but they can't advise me why. This is a capital return not a distribution accordingly there shouldn't be any tax on it.
In my opinion these people have to take the award for the most corrupt, misleading and incompetent people that have ever been appointed directors of a company. I have held these shares for a very long term and it appears the people feathering their own nests at the expence of the directors have failed in their duty to disclose that the $0.04c capital distribution in the restructuring proposal would be subject to withholding amounts. I also wonder how many people bought shares at $0.035 thinking they would get a return of $0.04 when the restructuring went through unaware of a non disclosed withholding?

Hmmmm...that is odd...very strange indeed.
I was a buyer at $0.036 and received my full $0.04 today. I would be nagging for a 'please explain' to the registry rather than taking 'can't explain why'

 

[TheAbyss]

Had you disclosed your Tax file number etc? For 100 characters, they may have withheld if you hadn't advised them.

 

[Helmie10]

I don't get it i just looked at my account for the first time in a while and BBI was stripped from my portfolio and i was deposited all the money that i held left in the shares which unfortunately was a lot less then when i last looked.

But now i read that i should have only got paid a fraction of what i did?

 

[ACE-03]

I don't get it i just looked at my account for the first time in a while and BBI was stripped from my portfolio and i was deposited all the money that i held left in the shares which unfortunately was a lot less then when i last looked.

But now i read that i should have only got paid a fraction of what i did?

The amount you should have received is $0.04 per share. If your shares have been stripped to nil, it means you you would have help less than 15,000 shares. (as the consolidation of 15,000:1 is rounded down)

 

[etingsoon]

The amount you should have received is $0.04 per share. If your shares have been stripped to nil, it means you you would have help less than 15,000 shares. (as the consolidation of 15,000:1 is rounded down)

Is that means, if I got less than 15,000 shares, then I will getting nothing. Even the $0.04 per share money.

 

[ACE-03]

Is that means, if I got less than 15,000 shares, then I will getting nothing. Even the $0.04 per share money.

No no, you will still get your $0.04 for every share you held. However you will no longer be a holder of BBI.
Example: If you held 10,000 shares you get $0.04 per share ($400)
THEN under the new consolidation of 1 new share per 15,000 you get .66 of one share which is rounded down to nil,

If you held 50,000 shares you would receive $2,000 (50,000 x $0.04) and still hold 3 shares
(50,000 / 15,000 = 3.33 shares. rounded down to 3)

 

[Albi]

The whole things are so complicated. I have bought BBI on .170 and holding it since a long time with hope that oneday it will be back on its price. But unfortunately lost a huge amount of my saving. Today I received 4000$ cheque and in my account it is showing 6 shares. I couldnot understand the process.

 

[skyQuake]

The whole things are so complicated. I have bought BBI on .170 and holding it since a long time with hope that oneday it will be back on its price. But unfortunately lost a huge amount of my saving. Today I received 4000$ cheque and in my account it is showing 6 shares. I couldnot understand the process.

You get 4c per share. So your 100,000 shares gets u $4,000.

And it consolidates 15,000 to 1, rounded down. Then u get ur 4 new shares of BBI (now called prime infrastructure)

I guess it will never come back to ur breakeven point. Hope you have learnt an important lessons about stop losses.