farahnazi - why are you in the share market?If you hold one...

farahnazi - why are you in the share market?

If you hold one million 50c options due to expire on 11/11/09 then you need to pay $500K to the company by that date to convert them to fully paid shares or let them expire taking the amount you paid for them as a loss. If you convert them, then you can sell them at what the market will pay for them. You would usually only convert options where the market price of the share is equal or greater than the option price.