Hmmmmmmm......Options & Acquisitions - Tax impact of Timing Cash out your options or awards
The actual amount you could receive will likely depend on your current exercise/strike price, the new price per share, or any other payment terms negotiated by the firms. But the effect will be the same: to liquidate your equity position.
Planning note: If you have vested incentive stock options, you’ll want to consider the pros and cons of exercising before the deal closes. When unexercised ISOs are cashed out at closing, it’s considered a cancellation of stock options for tax purposes, not a disqualifying disposition. This is important, as the former will be subject to payroll tax. Exercising shortly before the deal closes can prevent this from happening.