Define: Nil-Cost Option
Nil-Cost Option means the right to acquire shares for no cost, either conditionally or unconditionally, after a specified activity has been completed
Nil-Cost Option means the right to acquire shares for no cost, either conditionally or unconditionally, after a specified activity has been completed.
Relevant Circumstances
- When option holders can acquire shares without paying an exercise price
- If vesting requires completion of a milestone before nil-cost exercise
- Where tax treatment of nil-cost options differs from conventional options