Miss Zhang:
Does the exercise mean that Baosteel Group will pay me 4.2 yuan per warrant held by me? If I have enough money in my account, will my rights be automatically exercised? How should I exercise the warrant when it expires? Is it stock purchase? Can the transaction be canceled? Xiao Wu
Hello, Xiao Wu:
No. Exercise means that investors have the right to buy and sell certain assets at a certain price at a specific time. As far as the exercise of Baosteel warrants is concerned, it means that investors holding Baosteel warrants have the right to purchase a corresponding amount of warrants from Baosteel Group at a price of 4.2 yuan/share on the exercise date (August 30) Baosteel 。
Second, warrants will not automatically exercise. The exercise investor of the call warrant must have cash in the margin account, and the exercise investor of the put warrant must have positive shares in the account. If an investor needs to exercise 1000 Baosteel warrants (580000), there must be 4200 yuan (exercise price 4.20 yuan × 1000 warrants) of available funds in the margin account, and then the following operations are carried out: "buy" (the entrusting direction) - "582000" (exercise code) - "1000" (quantity).
The exercise declaration order is valid on the same day and cannot be revoked. It is the next day after the exercise shares Receipt.
(Guotai Jun'an negotiable securities Jiujiang Business Department Xu Jixin)
Sina statement: The content of this article is purely the author's personal view, only for investors' reference, and does not constitute investment advice. Investors operate accordingly at their own risk.
