Forgetting the intermediate SeattleSpinCo stock you actually received, you'd allocate 22.22% of your original HPE basis to ALL the MicroFocus stock you acquired, including the fraction of a share.
Your basis in the fraction of the share received is:
($'s allocated to ALL MicroFocus stock received)/# of shares received, including fraction)x(fraction of a share sold via CIL)
Your share of the fraction would be short term as your holding period for MicroFocus started over.
Tom Young
