Troubled split-cap sector see prices go much lower

Private investors who want to sell relatively small parcels of shares in troubled split-caps can expect to receive prices about 30% lower than those quoted on the market. Nigel Chapman, senior investment manager at Phillip Securities, said investors who are looking to move in excess of 10,000 shares in the troubled splits can expect a 30%-50% hit on the quoted price. Chapman said those investors who have tried to sell reasonable tranches of shares in the split-cap sector have been hammered on the price as a result of the lack of liquidity in the highly geared splits of splits, which has...