Component Adjustment (Merger Events) - Equity Derivatives Provision

Equity Derivatives Anatomy™ →Go uptown 12.2(g) “Component Adjustment”, then, in respect of a Share-for-Combined Merger Event, the consequence specified opposite “Share-for-Share” shall apply to that portion of the consideration that consists of New Shares (as determined by the Calculation Agent) and the consequence specified opposite “Share-for-Other” shall apply to that portion of the consideration that consists of Other Consideration (as determined by the Calculation Agent). (view template) Resources About the Equity Derivatives Definitions | (full wikitext) | (nutshell wikitext) | Equity v credit derivatives showdown Hot topics Synthetic Prime Brokerage Anatomy | The Triple Cocktail | Cancellation and Payment | Calculation Agent TOC | 1 General Definitions | 2 Option Transactions | 3 Exercise of Options | 4 Forward Transactions | 5 Equity Swap Transactions | 6 Valuation | 7 Settlement | 8 Cash Settlement | 9 Physical Settlement | 10 Dividends | 11 Adjustments and Modifications | 12 Extraordinary Events · 12.8 Cancellation Amount · 12.9 Additional Disruption Events · 12.9 List of ADEs · 12.9(b) Consequences of ADEs | 13 Miscellaneous Index: Click ᐅ to expand: Equity Derivatives - Premium Synthetic Prime Brokerage Tell me more Sign up for our newsletter — or just get in touch: for ½ a weekly 🍺 you get to consult JC. Ask about it here.

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12.2(g) in a Nutshell™ _{(Equity Derivatives edition)}

12.2(g) “Component Adjustment”, then, where a Merger Event is “Share-for-Combined”, the option chosen for “Share-for-Share” will apply to the New Shares component and the option chosen for “Share-for-Other” will apply to the Other Consideration component (as the Calculation Agent determines).

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Section 12.2. Consequences of Merger Events

12.2(a). “Alternative Obligation (Merger Events)”

12.2(b). “Cancellation and Payment (Merger Events)”

12.2(c). “Options Exchange Adjustment (Merger Events)”

12.2(d). “Calculation Agent Adjustment (Merger Events)”

12.2(e). “Modified Calculation Agent Adjustment (Merger Events)”

12.2(f). “Partial Cancellation and Payment (Merger Events)”

12.2(g). “Component Adjustment (Merger Events)”