<< need some help on my 10 SDLI MARCH 380 call options. I have no idea what happens to my options when the merge go through.>>
This doesn't answer your question directly but I assume the exchanges may treat the SDLI acquisition in a similar manner to the following merger. See:
cboe.com
for additional examples. You may want to call the 888 number at the bottom for specifics.
<<<<<<
CBOE Research Circular #RS00-820
October 25, 2000
First Security Corporation ("FSCO/FQB") Merger Completed with Wells Fargo FSCO
Merger Co.
Shareholders of First Security Corporation ("FSCO/FQB") voted on Monday, July 31,
2000, and approved a proposed Merger between FSCO and Wells Fargo FSCO Merger
Co., a wholly owned subsidiary of Wells Fargo & Company ("WFC"). Pursuant to the
terms of the Merger, each share of FSCO Common Stock outstanding immediately
prior to the consummation of the Merger will be converted into the right to receive
0.355 share of WFC Common Stock . The Merger became effective today, Wednesday,
October 25, 2000.
Contract Adjustments
Pursuant to Article VI, Section 11, of OCC's By-Laws, all outstanding FQB options shall
be adjusted as follows. On Thursday, October 26, 2000, each adjusted First Security
Corporation contract will require the receipt or delivery of: (A) 35 shares of WFC
Common Stock, plus (B) cash in lieu of 0.50 fractional share of WFC Common Stock.
Premiums for the adjusted First Security Corporation options will continue to be
calculated on the basis of a multiplier of 100, i.e., for premium and strike-price
extensions, 1.00 will equal $100 . The First Security Corporation option symbol will
change to FBW. [Any FLEX series that may exist will be adjusted in a similar manner
to the standardized option.]
Questions regarding this memo can be addressed to the Options Industry Services
Department at 1-888-OPTIONS (1-888-678-4667). This and all other CBOE contract
adjustment research circulars can be accessed from the CBOE Web site at the
following web address: cboe.com |
