NealMorris wrote:So NTEA, another dodgy one then
Only dodgy if you fail to read or understand the documentation!
I would think the repayment at par clause was originally inserted to give investors comfort they would likely get their money back if the licence was lost (essentially a back stop bid).
I suspect any attempt to re-nationalise would entail some degree of fairness towards owners/shareholders etc and I can't see Berkshire Hathaway rolling over too easily to accept a below market value offer from the UK Government. They will want at least fair market value. Could get messy but I reckon I know who has the better lawyers!
Looking back at some old notes Berkshire Hathaway owned 69% of the pref and 92% of the equity (possibly this could have changed but unlikely by any significant amount).
At current prices the market is pricing in this uncertainty/risk in my opinion.
Also worth reading Ofgem's terms of revoking licences here https://www.ofgem.gov.uk/publications/e ... conditions