I held petrochina shares in vanguard, they were delisted last october and I didn't pay attention. From my research and calling vanguard it seems there are 2 options:
- Transfer the ADR shares to H shares in a 3rd party brokerage and do an OTC trade
- Wait to see if Bank of New York sells the H shares and provides the proceeds to ADP shareholders (aka cash shows up in my vanguard account)
- Alternatively: they don't, and I have shares stuck in limbo for life!
Obviously I want to avoid the situation where I have shares stuck in limbo for life, but I also don't want to have to go through all this work to setup a new brokerage account and convert the shares and jump through all these hoops just to get $5k of petrochina stock (or whatever it would be after paying all the fees).
So I'm leaning towards just do nothing, but I'm curious: how likely would it be for Bank of new York to NOT attempt to sell the H shares? I'm guessing that there is a lot of pressure on them to cash out american shareholders, but perhaps the institutions that have actual large amounts have already made alternative arrangements to liquidate their shares and it's just lazy retail investors like me who are going to lose all their $?
Here's the statement I'm referring to:
The Bank of New York (the “Depositary”) announced it will terminate the Deposit Agreement among
PetroChina Company Limited (PTRCY), the Depositary, and Owners and Holders of PTRCY ADRs. The
termination will become effective at 5:00 PM (Eastern Time) on Monday, October 17, 2022.
PTRCY ADR holders have until at least Friday, October 20, 2023, to surrender their PTRCY ADRs for
delivery of PetroChina Company Limited H shares, which underlie the ADRs. PTRCY ADR holders who
surrender their ADRs for the underlying shares will be required to pay a cable fee of $17.50, a cancellation fee of up to $5.00 per 100 ADRs surrendered, and any applicable U.S. or local taxes or governmental charges.Subsequent to Friday, October 20, 2023, the Depositary may attempt to sell the H shares that underlie
any remaining ADRs not surrendered. If the Depositary sell such shares, shareholders must surrender
their ADRs to obtain payment of the sale proceeds, net of the expenses of sale, withholdings, and a
cancellation fee of up to $0.05 per ADS.PetroChina Company Limited ADRs were delisted from the New York Stock Exchange (“NYSE”) and
started trading OTC under the trading symbol PTRCY on September 9, 2022.
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