warrants and redemption

Discussion in 'Stocks' started by keanu89, Mar 20, 2007.

  1. keanu89

    keanu89

    Can someone please explain to me how warrants work and what redemption means in financial terms. If a company's stock is trading at 20 and there are warrants out there trading at 5 and the company has the right to exercise for example at 2. What would that mean? Thanks