I specifically said "if we don't ignore the piggies" because, like I explained in my post, buying PAROA is not the same as buying a standard european call option.
PAROA expires on February 2026, but the piggyback options you receive when you exercise PAROA don't, that means that the value of PAROA on expiry is not just $1.50 - $0.65 = $0.85. It's $0.85 + the value of 1/2 a piggy (which expires on 11 February 2028, and has a strike price of $1.00).
Yes the intrinsic value of LO* is $0.85 if the stock is at $1.50, but the value of half a piggy is between $0.40 and $0.47 (if you assume the stock has a volatility of between 70% and 100% over the two years from 11 February 2026 to 11 February 2028).
Also no where in @oxxa23's original post[1] did he say "let's ignore the value of the piggies". You decided to do that, so it would make the maths easier. I didn't do that.
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