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Company Purchased After Exercising Stock Options

MinorityOwner 1 10 August 3, 2016 at 07:03 PM in Finance
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I am a long time SD member, but I'm posting this with an alt ID because I don't want it linked to my personally identifiable account.

I worked at a private company where I was granted incentivized stock options (company is incorporated in, but not located in, Deleware). When I left the company, I had to exercise those options or lose them. I exercised them because they were currently valued at more than the strike price. I received a stock certificate that stated that they were a non-registered security (due to it being a private company).

Just recently this company announced that they were being purchased by another company as a cash purchase. I have not yet held the shares for 1 year, but as far as I can tell I'm past the 90 day period where the company can force a buy-back.

I'm about to contact the company to see if I can get more information, but so far the only number that has been announced is the sale price, but no value-per-share price and I don't know the number of outstanding shares.

My question is, what do I need to protect myself during this sale? I don't want to trust that the company will keep my best interests in mind. I'm worried that somehow they'll try to devalue my shares. Are there important questions I should ask? Anything I should do for tax reasons? Has anyone gone through a similar circumstance after already leaving the company?

Thanks in advance to any advice people can provide.

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As long as you have the original stock certificate and receipts of payment, the company must honor your ownership. You can also request ownership report from the company that has your ownership %. If you know the sale price, your estimated proceeds should be your % times the sale price. It usually is lower than that due to escrow/holdbacks, etc.
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