Carl Icahn Stake In Hertz Mostly Options
Of the 38,800,000 shares of Hertz (NYSE: HTZ) disclosed by Carl Icahn in a 13-D Filing, less than three million are actual shares, with the rest being comprised of a combined long call option/short put option position in OTC options.
From the filing:
"Call Options: The Reporting Persons purchased, in the over the counter market, American-style call options referencing an aggregate of 35,978,553 Shares, which expire on June 17, 2016.
"Put Options: The Reporting Persons have sold, in the over the counter market, European-style put options referencing an aggregate of 35,978,553 Shares, which expire on the earlier of June 17, 2016 or the date on which the corresponding American-style call option described above under "Call Options" in this Item 6 is exercised."
Icahn had used similar structures in previous transactions in Netflix and Herbalife.
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