You can purchase more shares at 2.3c than at 5.6c. So whilst it might cost 7.3c all up after conversion, you have more shares than you begin with if you were to purchase at current prices.
If I have $1000 to purchase shares at, I can buy approx 43,500 CDXO or I can buy approx 17,800 CDX.
Lets say you want to convert the options in Nov 21 and we will say CDX has done well and is now at 10c, the CDX shares will be worth $1,785, so a gain of 78.8%. The options, converted at 5c per share will cost $2,175 to convert but be worth $4,350 so will have a value of $2,175 after conversion. At 50c it's $8900 vs $21,750 (less conversion cost of $2,175) and so on. The SP needs to get to those prices though, and if it doesn't they expire worthless and you lose your investment. It's higher risk vs higher reward so as the other posters have said, if this is confusing or doesn't fit your personal risk tolerance, don't do it.
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