Thanks for your explanation.In another thread it says it takes...

Thanks for your explanation.

In another thread it says it takes up to 2 weeks for the company to convert the options.

Because ASNOC would be immediately convertible (strike only 3.5c), it makes sense that ASNOC price follows = (ASN price) - (strike price)

So by buying ASNOC (at 14c) you are betting that the share price will reach >17.5c before June 30th? And there is a risky 2 week period when you decide to exercise where if the price drops below 17.5c you lose money and have no control over the the conversion process.

If the options are not exercised by the expiry date, do they just disappear, or does the company buy them back off you and for what price?

Are the following assumptions correct? (not taking into account tax optimisation)

If you held ASNOD and the ASN price at expiry was still < 20c I assume you wouldn't exercise and just let them expire and you could buy shares on market for less than 20c if you wanted to. You would realise 100% loss on whatever you paid for ASNOD

If you held ASNOC and the ASN price at expiry was still > 3.5c you would exercise before expiry because even if you have lost money overall, you are still acquiring ASN shares at a discount to the market price and reduce your overall loss by (current ASN share price) - 3.5c