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Option holder

Option holder

An option holder is the person who holds an option and thereby the right to buy or subscribe for shares.

What is an option holder?

An option holder (Swedish: optionsinnehavare) is the person who holds an option, such as a warrant or an employee stock option. The option gives the right, not the obligation, to buy or subscribe for shares at a set strike price. Terms and vesting determine when it can be exercised.

 

Option holders and the share ledger

An option holder is not a shareholder until the option is exercised and the new shares are registered. Only then is the holder entered in the share ledger. Outstanding options still shape the future ownership picture.

Record options
Henrik Kristensen, NVR
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Related terms

Option

An option gives the holder the right, but not the obligation, to buy or sell an asset at a set price.

Warrant

A warrant gives the right to subscribe for new shares in a company at a set price.

Employee stock option

An employee stock option gives an employee the right to buy shares in the company in the future.

Option exercise

Option exercise means the option holder uses their right to buy or sell the underlying asset.