T20 IBX, page-62

How would that equate to a discount?

IBXOA are trading at a premium (and rightly so as they have 9 months today until expiry) however liquidity is not good should someone decide to exit or trade.

So yesterday took 1/4 of position and by selling IBXOA on market and purchasing heads.
Paid 3.1c to purchase minus 1.4 OA's sold equates to "conversion price" of 1.7c vs 3c which is a pretty acceptable discount given the reduction in leverage and time value of money.