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09:58
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Originally posted by Grainofsand:
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Here's a ChatGBT response in light of the varying answers above:In the event of a buyout or takeover of a listed company in Australia, what happens to the options depends on the terms of the options agreement and the specific details of the takeover. Here are some common scenarios:
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I'd be surprised if we ever saw a scenario where options weren't in the money during a takeover bid, so you can disregard that element of the response. Listed options cannot be cancelled before the expiration date. They do provide an opportunity to participate in the upside at nearly half price ATM.
(20min delay)