What the HASO is all about is you buying them say today at 4.5c, and if you want (it's an option, not an obligation), you can exercise it before the expiry date in April 22, by filling in a form and sending it in together with the payment of 25c for each option you hold to the company.
So your total outlay being 29.5c, and you will get the HAS share for each HASO you bought, etc.
Of course, you can also sell HASO later (and not exercise them) before the expiry, hopefully for a profit. As they are now in the money, the time value of the option reduces as the option moves deeper in the money. Eg. when HAS was 20c last week, HASO was trading around 3c - 3.5c (all of it time value). When HAS trades at 27c (today), and HASO high for the day was 4.5c (2c in the money, and 2.5c time value). As HAS price increases, time value of HASO dissappears. So if HAS is 40c, HASO most likely will be 15c to 16c.
But of course, it is fundamentaly all about supply and demand. Hence, IMHO, HASO should be about 7c today. But it has many sellers happy to take a discount to it's price.
Hope that eplains a thing or two.
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