Somebody (probably an employee) has been awarded 1,650,000 share options at $5.175, exercisable 31 Dec 2029.
They open a PUT option for the same size, price and exercise price. It will cost them an agreed rate per share - 1c, 5c etc.
If the EMR share price is above $5.175 on Dec 31st 2029 - they cash in their share options provided by EMR and the PUT option is left to lapse.
If the EMR share price is below $5.175 on Dec 31st 2029 - they ignore the share option issued by EMR, but have a PUT option which guarantees that they can sell 1.65M shares at $5.175.
So they're hedging their bit and willing to pay to do so.
A bit like backing a team it the start of a knock out competition at 25-1 - and when they reach the final and - putting an amount of on the team they are playing against to guarantee that whoever wins - you come away with a profit,
The opposite is a CALL option - which gives the right to BUY at a future point in time for an agreed price. That's where you short i.e. open a CALL option to buy 1M EMR for $3.50 at December 31st 2024.
Hope that makes sense - imo it's an employee who already has the shares in the bag, hedging their bets.
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