Newstrike Brands Ltd NWKRF

RE:RE:CAUTION ON WARRANTS

[goldman777]

flyboy27 wrote: Warrants allow you the right to purchase the common share at a strike price.
  If Hip is @ $5,00   and you own warrants with a strike of 1.00    
you have the right to puchase the shares at $1.00.  
the price you pay for the warrant in the in the case of HIP  is .16 cents  is a premium for that right to puchase.   You can always sell your warrants any time up to expiry, as price moves along with Share price .
Its like buying insurance.  and has incredible leverage .
Hip/Hexo  is going to run...... get your insurance today!!
Do your own DD.

I believe this is correct - so when HIP hits $1.00 ( the strike price ) you are entitled to buy a common share of HIP for $1.00 with each A warrant that you posesss...if the common share price runs to $1.50 you are still entitled to buy one common sgare for $1.00 for every A warrant you posess. This is the pay-off.