Advice on COTY buy write

Discussion in 'Stocks' started by gescob3, Mar 23, 2019.

  1. gescob3

    gescob3

    I purchased a COTY buy/write at Jan 2020 8 strike price for 5.87 back in DEC. Obviously, the stock price has far exceeded that strike price for some time and now there is the tender offer.

    I am getting a message from IB, about the tender offer at 11.65/share.

    Does anyone have any advice on what to do?

    Currently, the value of the buy-write is about 7.8.

    I am a bit unclear as to why the short holder of the call hasn't done early exercise.

    Is the tender offer for 11.65 only if you held the shares as of a certain date?