RE:RE:RE:Cash Position!WetCoat
Forty Million shares at a .02 gain is 800k. So the day before expiry do you excersise or let it die? Problably excersise. The nonsense about warrant taxes negating a small gain is ridiculous and would have little to do with a decision as you would be talking about a theoretical 11% gain in one day. So an annual compound gain of 4000%. As for the tax side it would be a capital gain so first 50% would be free of taxes the balance taxed at your rate.
The problem with excersing the warrant is the question of whether the share prices maintains its price in order for you to dispose of your position. The theoretical gain is based on share price maintaining the spread. However, you cannot dump 40 million shares assuming everything is constant without puting downward pressure on the share price.
At anyrate if the share price remains the same I suspect a good portion of the warrants would likely be excersised.