How to trade my Twitter stock/options after acquisition?

 The world's richest man, Elon Musk, has completed his $44bn (£38.1bn) takeover of Twitter, according to US media and an investor in the social media firm.

Shareholders of Twitter have expressed concern regarding the fate of their stock and options following the completion of the acquisition.

Let's talk about stocks first

Upon completion of an acquisition, investors who hold the underlying stock will receive their shares at the acquisition price. You may close out your position yourself or wait until the acquisition has been completed.

Let's talk about options again

First of all, when the company is delisted, who will handle the options?

OCC The Option Clearing Corporation Click to enter official website​

What does OCC do with these unexpired options?

The OCC has a file numbered 23988 File (which can be queried through OCC search)

The name is: Accelerated Expiration Of Equity Cash Products-ReminderDocument description:Both standard and FLEX equity options will be accelerated to the nearest standard equity/index expiration date.

  • If an equity option deliverable is converted to cash by the Tuesday of expiration week, OCC will accelerate the expiration date to the current standard expiration.
  • However, if the option deliverable is converted to cash after Tuesday of expiration week, OCC will NOT accelerate the expiration. In this situation, the expiring contract for the current expiration month will expire as normal. All future months will be accelerated to the standard expiration the following month.

For example, if Twitter is delisted and liquidated on October 28, 2022 (this Friday), the "In the Money" options that expire this week will NOT accelerate the expiration, however, All future months will be accelerated to the standard expiration in November 2022.

$Twitter(TWTR)$$Tesla Motors(TSLA)$

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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  • Netfalcon
    ·2022-10-28
    TOP
    So to confirm, all OTM options expire worthless within the next month. Do I need to execute my ITM call options within that timeline, or will I automatically get the payout based on the acuisition price (price-strike) as value?
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    • NetfalconReplying toTiger_Academy
      Thank you - still not 100% clear though. I see my TWTR stocks have been liquidated and I got the cash in my account. However, all of my TWTR options remain and I do not see any change in expiry. Do I need to sell my ITM options, or will they be auto-executed and cashed out to me?
      2022-11-02
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    • AnaiAnai
      yeah
      2022-10-30
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    • Tiger_Academy
      Yes, you are right
      2022-10-28
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  • LibeQ
    ·2022-10-29
    TOP
    If I want to wait for acquisition to complete do I get the full amount into my Tiger account? Any other fees I should know of?
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  • Fenger1188
    ·2022-10-30
    TOP
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    • rL
      😘😘😘
      2022-10-30
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    • Fenger1188
      👍🏻👍🏻👍🏻
      2022-10-30
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  • MunKeow
    ·2022-10-28
    How to sell my twitter stock after the acquisition? Today can’t sell my stock liao?
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  • Adestein
    ·2022-10-30
    Finally case closed
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  • ming88
    ·2022-10-30
    thank for sharing
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  • Woobenny
    ·2022-10-30
    The overhang is over 😄
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  • Edwht
    ·2022-10-28
    Great thanks tiger academy for shedding the lights.
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  • zerolih
    ·2022-10-28
    thanks for the analysis [Like]
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  • Pjun
    ·2022-11-21
    wiw
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  • niew
    ·2022-11-01
    thanks
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  • FALCON
    ·2022-10-31
    ok
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  • Z.C
    ·2022-10-31
    ok
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  • HENRYCSC
    ·2022-10-31
    Ok
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  • 淋淼淼
    ·2022-10-31
    Ok
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  • hoeweigoh
    ·2022-10-31
    👍
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  • Feijoa8025
    ·2022-10-31
    Nice !
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  • poster
    ·2022-10-31
    [smile]
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  • YNWA888
    ·2022-10-31
    Ok
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  • YNWA888
    ·2022-10-31
    Ok
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