intc (w) warrants. Gives the right of the holder to purchase intc stock, at any time, for an additional cost. These warrants were issued years ago and the price to purchase intc was set to change each year on, I think, 3/15/9x. Since they expire on 3/1/98, there is only one more price change. On 3/15/97, the price goes to 41.75. In other workds, if you own the warrants, you can exercise and get the right to buy intc for 41.75.
I am a pretty sophisticated trader, but I never understood the necessity of having these other than they faciliate a purchaser the right to play intc without having to put up 100% of intc's cost.
i undertsnad that they are used in certain trading vehicles but i don't know which or why. I just own intcw because it is cheaper than intc and i can buy more for my money. |
