Wed 13 Dec 2006
Starting in April, the Internet search company will let rank-and-file staff auction off their stock options to the highest bidding institutional investor, the company said Tuesday. [MarketWatch]
It seems like the Googleplex has found another way to work the markets for every last cent…? By selling stock options in the open market, employees can collect the current value available from exercising stock options, and also collect a time premium for the remaining life of the options.
I’m curious how the SEC will interpret this…
December 13th, 2006 at 9:23 am
There’s a better article on the topic over at Bloomberg. Here are some quotes:
“Google worked with the U.S. Securities and Exchange Commission on the program, which doesn’t need formal approval.”
“The term, or life, of options traded on the exchange will automatically be cut to two years from 10 years when employees sell them…”