Possible US buy-out of Entain
Discussion
I hold shares in Entain (formerly GVC Holdings) in my ISA, on the Fidelity platform.
A few months back there was an offer made by MGM to buy Entain; this offer was rejected but a new offer by DraftKings has been announced today.
My question is, what would happen to my Entain shares if a buy-out by a US company resulted in Entain shares being “swapped” for shares in the US company? I don’t believe it’s possible to hold US shares on Fidelity’s platform, and in any case I believe I’m not a registered shareholder as far as Entain is concerned - is it not the case that I merely own a portion of a “pool” of Entain shares held by Fidelity on behalf of its customers? If so, then Entain (or its US purchaser) would have no way of contacting me to issue a share certificate for the US shares.
How is this likely to be handled if a US buy-out goes ahead?
A few months back there was an offer made by MGM to buy Entain; this offer was rejected but a new offer by DraftKings has been announced today.
My question is, what would happen to my Entain shares if a buy-out by a US company resulted in Entain shares being “swapped” for shares in the US company? I don’t believe it’s possible to hold US shares on Fidelity’s platform, and in any case I believe I’m not a registered shareholder as far as Entain is concerned - is it not the case that I merely own a portion of a “pool” of Entain shares held by Fidelity on behalf of its customers? If so, then Entain (or its US purchaser) would have no way of contacting me to issue a share certificate for the US shares.
How is this likely to be handled if a US buy-out goes ahead?
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