Hi Zippy, agree with most of what you said but when you said...

Hi Zippy, agree with most of what you said but when you said "This is another strong incentive not to sell your LOMOB options and to exercise them", you needed to qualify that by also saying if you intend to hold your shares for 12 months. The reason I say this will be obv to most, but if the share price is 40c and the oppies are at ten cents, you will gain nothing of benefit by exercising an oppie and then selling the head. ie selling an oppie for 10c or converting an oppie and then selling the head for a 10c profit will both invoke full CGT. If you convert your oppie and hold the head for 12 Months you will only incur 50% CGT.

That being said, conversion is most definitely the way to go if you are staying in for the long haul.

All IMO. Please consult an accountant for your advice.