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QL300

06/08/24 2:15 PM

#697034 RE: learningcurve2020 #697028

Want to tell me how many options they’ve actually exercised to maintain control moron?
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kabunushi

06/08/24 2:29 PM

#697038 RE: learningcurve2020 #697028

Nonsense. on the 'options restructuring' claim. You are ignorant. There's no way the strike price on the options gets changed. They will get the same treatment as actual shares on any split or reverse split (number of shares and strike price get adjusted as the shares do) and assuming they are in the money on a buyout they effectively get exercised and get the same treatment as any shares. If not in the money they would expire worthless.

On a buyout, for any options or warrants that are outstanding: if they are in the money vs the fully diluted per share purchase price (the purchase price divided by the total number of shares including the options and warrant which are considered exercised as though in a cashless exercise) then the options or warrants receive cash credit for their net cash value (i.e. the net per share $ amount at the purchase price minus the strike price of the option). They are bought out just like all the existing shares except their cash buyout is the net value after subtracting the exercise price.

The only 'restructuring' of options on a buyout is that any options that were not yet vested generally get accelerated vesting to vest immediately and be included in the distribution of the buyout cash.