Definition of Cashless Warrant
A Cashless Warrant is defined as a “right” to purchase shares at a specific price called the “strike price” within a certain period of time. For instance. The warrant holder has the right to purchase a stock at $5.00 per share (the strike price) anytime within a three-year period and sell the warrant above the strike price to earn the difference between the strike price and selling price. For example. The warrant holder wants to sell a warrant at $10.00 per share in the open market. A cashless warrant means that if the warrant holder sells his warrant shares at $10.00 per share, he will receive the difference between $10.00 (what he sold it for) and $5.00 (what he owns it at). The difference is $5.00 per share. If the warrant holder owns 2,500 warrant shares (the minimum he will receive for a successful referral), he will net 2,500 x $5.00= $12,500 per referral. The selling broker will send you the difference in “cash” required no money from you. All that is required is to list the referral below and Wytec will do the rest! Upon a successful conclusion, Wytec will send you 2,500 cashless warrants.