Results 1 to 2 of 2
  1. Seamless82 is offline
    Seamless82's Avatar
    Joined: Jun 2008 Location: God's Country --- Up North Posts: 57
    08-29-2008, 06:53 PM #1

    Lightbulb Options Activity Confusing...

    Prior to the Sirius XM Merger, I followed the options activity of SIRI quite a bit. The options classes were much more narrow than I am seeing now.

    We now have call options ranging into $50 strike range, with open interest of 534 contracts! I haven't seen this in a very long time. But it is obvious that some people are making some very little bets on very high targets. In fact, today there was even volume on the 09-Jan $30 strike, calls. Are you kidding me?

    Are some of these somehow related to XMSR options changing over? Still I would think that those strike values would change relative to the currency of the merger deal (4.6 siri, to an XMSR share).

    I know options. But I do not know who would buy a $30 call option on Sirius, expiring 9-Jan.

    Any insight into this options activity...anyone?

  2. terrymr is offline
    terrymr's Avatar
    Joined: Aug 2008 Posts: 45
    08-29-2008, 11:53 PM #2
    Yes - You're seeing former XM options (ticker symbols beginning with QSH or KZI) - the strike price is based on siri x 4.6. The deliverable on the contracts is 460 shares of SIRI.