Communication Services

Unexchanged Shareowner Solutions

Based on our experience, anywhere from 5% to 20% of certificated shareholders do not exchange their certificates after a merger or acquisition. These investors risk having their shares and dividends escheat as unclaimed property because they have failed to take required action. To compound the problem, they are unable to liquidate or transfer their shares since they have not properly exchanged their shares.

There are many reasons why these holders do not exchange their shares:

  • Shareowners are confused by the legality of the letter of transmittal and the legal requirements necessary for a transaction to occur
  • Shareholders cannot or do not want to write a check for the lost certificate bonding fee
  • The registered shareholder is not at the address of record
  • The shareholder is deceased and the heir is unaware

Whatever the reason may be, Keane’s Unexchanged Shareowner Solutions will help these individuals.

Our program will identify the issue that is hindering an exchange and will work with the holder in a courteous and shareholder-friendly manner. We explore the nature of the situation for each unexchanged shareowner and determine the best course of action to achieve resolution in the post-merger environment. This unique approach drives superior results and allows us to succeed where other service providers have fallen short.

Furthermore, our service will allow disinterested holders to sell their shares, similar to our Odd Lot Programs. Our programs benefit our clients by helping them reduce shareholder servicing, due-diligence and escheat reporting costs. Equally important is the valuable service of being proactive and actively communicating with your unexchanged shareholders.

From mergers, acquisitions, and redemptions to more complex corporate actions, Keane offers comprehensive post-merger and corporate action solutions that are tailored to each company’s unique situation. We have the experience and expertise to communicate with and guide disconnected shareholders through the often confusing process of understanding and claiming their entitlement.

Has your company recently been through a merger or acquisition? Speak to an Unclaimed Property Specialist about our Unexchanged Shareowner Solutions at 800-848-8896 or at [email protected]

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