TWO PARTS TO THE SIA RIGHTS ISSUE
1. Rights Issue of Rights Shares
For every 2 Shares, you are offered 3 Rights Shares @ S$3.00 each.
2. Rights Issue of Rights MCBs
For every 100 Shares, you are offered 295 Rights MCBs @ S$1.00 each.
WHERE TO CHECK QUANTITY
There will be an offer letter despatched to you on or around 13 May 2020.
It will take awhile to reach you by post, due to the current Covid-19 situation.
*Note: Lyndell does not have access to your CDP / CPF / SRS so you will need to check the quantity yourself by the following methods.
Rights Shares or Rights MCBs in CDP
Please log in to your online CDP account.
There will be a notification that shows the quantity of Rights Shares and Rights MCBs you are allotted.
Rights Shares or Rights MCBs in CPF / SRS
Please check with the bank that holds your CPF /SRS Investment Account.
SAMPLE CALCULATION
Say, you hold 1,000 shares of SIA, bought before 6 May 2020.
1. Rights Issue of Rights Shares
You will be offered 1,000 / 2 x 3 = 1,500 Rights Shares.
If you wish to take up the Rights Shares, you will have to fork out 1,500 x $3.00 = $4,500.
2. Rights Issue of Rights MCBs
You will be offered 1,000 / 100 x 295 = 2,950 Rights MCBs
If you wish to take up the Rights MCBS, you will have to fork out 2,950 x $1.00 = $2,950.
TWO IMPORTANT POINTS
*The Rights Shares and Rights MCBs are renounceable
If you do not wish to take up the Rights Shares or Rights MCBs:
You can sell them off in the market from 13-21 May 2020.
The Rights Shares and Rights MCBs are your entitlement and have value!
Please read this article if you wish to sell off your Rights Shares or Rights MCBs.
*The Rights Shares and Rights MCBs are capable of acceptance independently of each other.
If you wish to take up the Rights Shares or Rights MCBs:
You may choose to accept both the Rights Shares and Rights MCBs.
Or, you may accept the Rights Shares and sell off the Rights MCBs or vice versa.
Or, you sell off both the Rights Shares and Rights MCBs.
Overall, it is not necessary to accept both together.
RIGHTS ACCEPTANCE PERIOD
The period for acceptance of the Rights Shares and Rights MCBs is 13-28 May 2020.
EXCESS RIGHTS
You may apply for Excess Rights Shares or Rights MCBs (ie. more than the amount that you are offered).
Excess Rights Shares or Rights MCBs are not guaranteed.
Offered (allotted) Rights Shares or Rights MCBs are guaranteed.
If there are insufficient Excess Rights Shares or Excess Rights MCBs to satisfy all valid excess applications by shareholders, the basis of allocation will be determined by SIA.
PART I: HOW TO ACCEPT YOUR RIGHTS SHARES
There are several ways to accept your Rights Shares. For straightforward purposes, the easiest and most convenient method is discussed here.
Please take note that there are different methods for accepting Rights Shares in CDP / CPF / SRS.
Rights Shares in CDP
Method 1: Acceptance via SingaporeAir website using PAYNOW
https://www.singaporeair.com/rights/details
Follow the steps on the website.
Method 2: Acceptance via ATM (DBS/OCBC/UOB)
1. Info to prepare:
- Total number of Rights Shares you wish to apply (Allotment + Excess shares)
- Your CDP number (12 digits starting with 1681)
- Adequate funds in your bank account for the total amount that you are applying for
2. At the ATM, go under More Services / Investment Services.
3. Look for Rights Application and select "SIA R" and follow through.
4. Key in the total number of Rights Shares you wish to apply (Allotment + Excess shares)
5. The total $ amount will be deducted from your bank balance.
6. Once confirmed and submitted, you will receive a receipt. Please keep the receipt.
7. The Rights Shares will be issued to your CDP Account on or around 05 June 2020.
- Your online CDP balance will reflect the Total quantity, which means Original quantity + Rights Shares quantity + successful Excess Rights Shares quantity.
- Unsuccessful Excess $ amount will be refunded to your bank account
Rights Shares in CPF / SRS
The acceptance has to be done via the bank that holds your CPF / SRS Investment Account, that holds the SIA shares.
Please kindly contact the bank to accept the Rights Shares with your CPF / SRS Funds.
After you use CPF / SRS Funds to accept the Rights Shares, the Rights Shares will be issued to your CPF / SRS Account on or around 05 June 2020.
*Note: Rights Shares in CPF / SRS cannot be accepted via ATM. It will be rejected.
PART II: HOW TO ACCEPT YOUR RIGHTS MCBs
There are several ways to accept your Rights MCBs. For straightforward purposes, the easiest and most convenient method is discussed here.
Please take note that there are different methods for accepting Rights MCBs in CDP / CPF / SRS.
Rights MCBs in CDP
Method 1: Acceptance via SingaporeAir website using PAYNOW
https://www.singaporeair.com/rights/details
Follow the steps on the website.
Method 2: Acceptance via ATM (DBS/OCBC/UOB)
1. Info to prepare:
- Total number of Rights MCBs you wish to apply (Allotment + Excess shares)
- Your CDP number (12 digits starting with 1681)
- Adequate funds in your bank account for the total amount that you are applying for
2. At the ATM, go under More Services / Investment Services.
3. Look for Rights Application and select "SIA MCB R" and follow through.
4. Key in the total number of Rights MCBs you wish to apply (Allotment + Excess shares)
5. The total amount will be deducted from your bank balance.
6. Once confirmed and submitted, you will receive a receipt. Please keep the receipt.
7. The Rights MCBs will be issued to your CDP Account on or around 05 June 2020.
- Your online CDP balance will reflect the Total quantity, which means Rights MCBs quantity + successful Excess Rights MCBs quantity.
- Unsuccessful Excess $ amount will be refunded to your bank account
Rights MCBs in CPF
The acceptance has to be done via the bank that holds your CPF Investment Account, that holds the SIA shares.
Important Note!
The Rights MCBs are not eligible for inclusion under the CPF Investment Scheme.
Hence, you will not be able to use your CPF Funds to apply for Rights MCBs.
However, you may use cash to accept the CPF Rights MCBs and apply for excess Rights MCBs.
Please kindly contact the bank to accept with cash.
Since you use cash to accept the Rights MCBs, the Rights MCBs will be issued to your CDP account on or around 05 June 2020.
*Note: Rights MCBs in CPF cannot be accepted via ATM. It will be rejected.
Rights MCBs in SRS
The acceptance has to be done via the bank that holds your SRS Investment Account, that holds the SIA shares.
Please kindly contact the bank to accept the Rights MCBs with your SRS Funds.
After you use SRS Funds to accept the Rights MCBs, the Rights MCBs will be issued to your SRS Account on or around 05 June 2020.
*Note: Rights MCBs in SRS cannot be accepted via ATM. It will be rejected.
Have a question regarding your SIA Rights Shares or Rights MCBs? Drop Lyndell a WhatsApp / Email / SMS.
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