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"None - my stock option vanished and don't own any". What does this mean? How stock options vanish?
by indrekju 15y ago
"None - my stock option vanished and don't own any". What does this mean? How stock options vanish?
- krobertson 15y agoThis the more polite "I work at Zynga" option? More seriously... probably more along the lines of company fails, maybe left before vested, etc. Curious to see a list of ways though... or peoples experiences.
- bstewartnyc 15y agoIf options are "underwater" at the time of acquisition, it can be part of the deal that acquiring company does not need to honor those, and they are basically deleted. That happened to me, when options at a public company were acquired by another public company. All the vested but underwater options were simply deleted. When share price rose at the acquiring company my options would have been worth $600,000+. Oh well... ;(
- infinite8s 15y agoHow can the deletion be legal? Isn't the purchasing company required to honor all debts of the purchasee?
- nroach 15y agodebt != equity. see also bankruptcy discharge.
- spinlock 15y agoLots of companies have claw-back clauses where they buy the options back from you if you leave before they've vested. Or, in my case, the company was sold and the common stock (I bought the shares not options) was worthless.