Collecting Stock/Share Certificates can be a fun, rewarding and even profitable hobby; however occasionally a company gets acquired by another company as recently happened with Pixar, who was acquired by The Walt Disney Company in an all-stock acquisition valued at 7.4 million dollars. In this specific instance each share of Pixar stock will be redeemed for about two shares of The Walt Disney Company.
But how does this effect Scripophilists? Well, an acqusition or merger can create a disconcerting situation for collectors, as suddenly they are faced with the possibility of having to surrender their share certificate(s) in the company being acquired. An unpleasant thought indeed for collectors!
Fortunately, if you purchased Pixar stock through one of the companies that issues an actual share certificate (like OneShare.com as a collectible there IS a loophole. Read your Share Exchange Instruction Booklet very carefully and you will find the following section.
"What do I do if my Pixar stock certificates are lost, stolen or destroyed?"
By reading the aforementioned section very carefully you will discover that if you own less than four shares, you can check the box on the Transmittal Form labeled "Lost, Stolen, or Destroyed Certificate(s)" to declare your certificates as lost, stolen or destroyed and still receive your Disney shares without physically surrendering your Pixar certificate(s)...which will at that point become nothing more than pretty wall decoration!; however it is important to note that if you own five or more shares of Pixar stock you will be required to post a small bond in order to receive your Disney shares.
Very Important...regardless of whether you surrender your Pixar certificates or "lose" them, please read your "Share Exchange Instruction Booklet" carefully and follow the instructions. Pay special attention to the section entitled "What are the consequences if I do not surrender all of my Pixar stock certificates?" which details how you could forfeit everything to the state in which you live if you do not respond in a timely manner!
Enjoy your Pixar certificate(s)...To Infinity and Beyond!
*I do not endorse or suggest any specific shareholder course of action as regards to thier Pixar certificates. Use of information contained in this article is entirely at your own risk.
Copyright © 2006 Stanley Holtsclaw
Collecting Stocks
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