Ive found that close to expiry of options in the money, they...

Ive found that close to expiry of options in the money, they often trade at a slight discount to the fpo. I think this is because of the effort required to exercise the options and the time period for conversion. If TOX were to tank in this period (unlikely) then your hands are tied.

Agree that long-dated options out of the money often trade at ridiculous premiums.

Cheers