Daily Telegraph: Big tax bill looms for BPB investors: “The news comes after thousands of British holders in Royal Dutch Petroleum were left with a similarly large tax bill after Shell restructured into one company this summer.”: “Angela Knight, Apcims' chief executive, said: "The private investor is continually on the wrong side of these deals.”: Friday 2 December 2005

By Christopher Hope (Filed: 02/12/2005)

Up to 8,000 private shareholders in the plasterboard maker BPB will be left with a £25m capital gains tax bill if French building materials group Saint-Gobain's £3.9billion bid is approved today.

The news comes after thousands of British holders in Royal Dutch Petroleum were left with a similarly large tax bill after Shell restructured into one company this summer.

The Association of Private Client Investment Managers and Stockbrokers (Apcims) said yesterday about 10pc - worth £389m - of BPB shares were held by private holders. Apcims has spent the past few days asking Saint-Gobain to announce a loan note after the offer closes today so that shareholders can mitigate the tax bill. It refused.

Angela Knight, Apcims' chief executive, said: "The private investor is continually on the wrong side of these deals. They could have offered loan notes and didn't.

"The advisers bear a substantial amount of the responsibility. The offer document mentions a capital-gains tax possibility." The company declined to comment.

Click here to return to ShellNews.net HOME PAGE