I'm thinking of selling long dated put contracts for a company that I believe may be acquired before the expiration date. I'll use SNAP for my example. What would happen to in the following situation?
I sell the
SNAP INC CL A JAN-20 $10.00 PUT and another company buys them for $20.00 a share prior to Jan of 2020.
Does the method of acquisition (cash vs share exchange) matter?
Thanks for you insight!