Bouleversee wrote:moorfield wrote:It's easy to forget how much HYP1 has changed over the years actually. I can't remember all the corporate actions that have happened but looking back on the
November 2000 scriptures, 9 of the original 15 selections have since changed.
Gallaher (LSE: GLH) Tobacco
Scottish & Newcastle (LSE: SCTN) Brewery
Royal & Sun(LSE: RSA) Insurance
Alliance & Leicester (LSE: AL.) Bank
Britannic (LSE: BRT) Insurance
Bass (LSE: BASS) Hotels
Boots (LSE: BOOT) Retail
Associated British Ports (LSE: ABP) Ports
Blue Circle (LSE: BCI) Cement
Could I just ask how these changes came about and how the replacements were arrived at? If they were all takeovers, I think at least Boots was a cash one, wasn't it, so did Pyad choose this replacement and others? Might have worked out rather differently if Doris had had to manage, which is perhaps what 1invest was driving at. Nobody responded to that post; hard to know where to start,
In the order in which the first corporate action affecting the original holding happened:
Blue Circle Industries: Taken over for cash in July 2001. The replacement pyad chose was Hilton Group; it was renamed to Ladbrokes in 2006, then merged with a substantial part of Coral to form Ladbrokes Coral in 2016. Ladbrokes Coral was then taken over by GVC in 2018, for a mixture of GVC shares, cash and 'Contingent Value Rights' - the last being a debt-like security with very messy and complex terms. Pyad decided to sell the Ladbrokes Coral holding and replace it with one of GlaxoSmithKline to avoid the complexities.
Bass: Still in HYP1, in twice-renamed form. Specifically, it was renamed as Six Continents in 2001, for reasons to do with the beer trademark 'Bass', then Six Continents was renamed Intercontinental Hotels when Mitchells & Butlers was demerged out of it in 2003 (this increased the number of HYP1 constituents from 15 to 16). The two holdings were fairly similarly-sized originally, with the IHG holding about 1.5 times the size of the MAB holding soon after the demerger, but IHG has greatly outperformed MAB since.
Britannic: Merged in Resolution in 2005, which was taken over for cash In February 2008 - see under Scottish & Newcastle below for what pyad did with the takeover proceeds.
Associated British Ports: Taken over for cash in August 2006. The replacement pyad chose was BT.
Boots: Merged to form Alliance Boots in 2007, then taken over for cash in June 2007. The replacement pyad chose was DSG International, which had previously been named Dixons and subsequently renamed itself as Dixons Retail. Dixons Retail then merged with Carphone Warehouse to form Dixons Carphone in 2014, and as indicated in the OP, Dixons Carphone renamed itself Currys a couple of months ago.
Gallaher: Taken over for cash in April 2007. The replacement pyad chose was British American Tobacco.
Scottish & Newcastle: Taken over for cash in April 2008. Pyad combined the proceeds of this takeover and the Britannic/Resolution takeover a couple of months earlier, and split them 50:50 between two replacement shares, namely Pearson and Persimmon.
Allliance & Leicester: Taken over for shares in Banco Santander in October 2008, but pyad chose to sell the holding before the takeover completed and reinvest the proceeds in topping up other holdings. His reasons were presumably some combination of not wanting to track a foreign company for HYP1, the small size of the holding (it had fallen to very roughly 1/3rd of its original £5k size), and wanting / not objecting to HYP1's size reducing back to the original 15 holdings.
Royal & Sun: Renamed to RSA Insurance at some point, with no change to its RSA symbol. Otherwise nothing happened until it was taken over for cash this year, with pyad choosing M&G as its replacement as described in the OP.
Gengulphus