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I'd like to know what happens to pending trades that don't settle as a result of delisting.

I sold Debenhams shares on the 8th of April but they got delisted on the 10th which was supposed to be the settlement date. Will i still receive cash for sale?

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  • What has actually happened so far, did the broker say anything or has the sale simply not settled without any explanation? – GS - Apologise to Monica♦ Jun 23 '19 at 12:21
  • The broker didn't give me a proper explanation. They keep saing " wait" . I can see the unsettled funds in my trading account but i can't withdraw them. It's been 2 months – user86072 Jun 23 '19 at 12:33
  • I don't have a proper answer to what should happen, but I think you should keep pushing your broker for an explanation. Make a formal complaint if ncessary. – GS - Apologise to Monica♦ Jun 23 '19 at 14:29
  • If you sold your shares nearly 3 months ago and you are being told to wait, your broker is stringing you along. I would think that if you sold your shares before the delisting then you should be entitled to the proceeds. However, I am in the US and I have no clue what happens in the UK. Contact the regulatory authorities to find determine how to resolve this. – Bob Baerker Jun 23 '19 at 17:10
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    What (I think) you should do is first complain to the broker, and then if their "final response" isn't satisfactory or you don't get one within 8 weeks or so, complain to the Financial Ombudsman: financial-ombudsman.org.uk – GS - Apologise to Monica♦ Jun 23 '19 at 19:02
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If you had sold your shares on April 8th then you would have received the cash in your account 3 working days later.

I think what you mean to say is that you placed an order to sell on April 8th and that order was never executed because there were simply no buyers in the market.

The exchange would have issued warnings of a pending delisting in advance.

The problems facing Debenhams were well understood by the market at the time. The share price had dropped 97% in the last two years.

Debenhams was place into administration on or shortly after April 10th as the shares were delisted. Your only hope now is that the administrators can restructure Debenhams and prevent it from declaring bankruptcy.

This is how the Motley Fool UK site rates Debenhams chances:

Unfortunately, this means that anyone who owned shares probably won’t see any money back.

Sorry to be the bearer of bad news.

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    This possible narrative doesn't quite fit with the OP being able to "see unsettled funds" in their account. – GS - Apologise to Monica♦ Jun 23 '19 at 19:01
  • Thanks. I am pretty that the transcation went through. There are a lot of people who are in similar situation. I'll complain to the financial ombudsman. Thanks for the info – user86072 Jun 23 '19 at 19:38
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    @user86072 please come back and let us know the outcome! – GS - Apologise to Monica♦ Jun 23 '19 at 19:51
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Your pending order just won't fill, and in most cases, those who are already invested won't ever see their money again.

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  • I don't have a pending order. All my shares were sold before the suspension but they didn't settle as they ceased to be admitted to the London stock exchange – user86072 Jun 24 '19 at 5:01

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