Exercise Price

May 22, 2019 by James Woolfenden

Also called the Strike Price, the amount that must be paid to convert vested Share Options or Warrants into shares in the company. Often, the Exercise Price will be the accepted market value of the company’s shares on the date the Share Options or Warrants are granted, rather than at the date of exercise.  Sometimes the Exercise Price can be at a discount to the market value and sometimes it might be higher (a hurdle).