How to Partially Exercise Options?

After issuing options in Eqvista, it is possible to partially exercise the options that have been issued to a shareholder. 

Here are the steps to follow:

Step 1: Log into your Eqvista account and select the company account to partially exercise options. 

On the dashboard, click on “Securities” on the left-hand side to get a drop-down menu and click on “Options”. 

Note: Warrants can also be partially exercised. Check out the support article to learn how to partially exercise the warrants. 

Step 2: Once you click, you will be redirected to the following page. 

Note: On this page, click on “Create New Class” to create an option class and if you have created one, you can issue options and implement a vesting schedule.

Then, click the option class created to get the overview of the class and list of shareholders issued under the class along with details such as grant name, options, price, ownership, and status. In this case, click on “Option Pool 2”.

Step 3: For instance, click on the grant name “OP2-002” to partially exercise the issued option and you will be redirected to the option grant details page. 

Here, click on “Actions” on the right-hand side to get a drop-down menu and select “Exercise to equity”.

Step 4: By doing this, a new window will appear. The first step is deciding whether it will be a partial or full exercise. The given exercise price will automatically be used for the conversion. 

In this case, we have selected partial exercise and the equity class to where the shares would be given. Next, enter the number of options to exercise, and the number of options left will be displayed automatically. To partially exercise the maximum amount of options, click “Max Amount”. Then, the exercise date and exercise grant name will be automatically filled. If the exercise date is not today, then you can edit it.

Note: You can also exercise all the options issued to you by clicking “Full Exercise”. Check out the support article to learn how to exercise all the options.

Once done, click on “Submit Exercise”.

Step 5: With this done, you will be redirected to the next page where the share amount has been updated.

Note: After partially exercising the options, you cannot edit the grant details.

For more details on the exercised grant, click on the grant name “Exer from OP2-002”.

Step 6: Then, you will be redirected to the next page where the option has been exercised in the name “Exer from OP2-002”.

Note: You can add document to the grant by clicking on “Add Document”. Check out the support article to know more about adding documents to grants.

Step 7: The record of the exercised grant can also seen by clicking “Cap Table” on the left-hand side to get a drop-down menu. Then, click on “Secondary Transactions” and you will see all the transactions – Exercises, Transfers, Note conversions, Repurchases, and Cancellations. 

On this page, click on “Exercises” to check if the grant is partially exercised.

Partial Exercise Using Spreadsheet

Step 8: Suppose you want to perform exercise using the spreadsheet feature. At the top of the table, click on “Option Grants”. Under the Secondary Transaction section, the first one is “Secondary Transaction” which provides the different options to choose from. Once you select “Exercise” from the drop-down menu, enter the date, amount, receiving equity class, and grant name.

After adding the details, click on “Check Data”. If you want to cancel the process, click “Discard all Changes”.

Step 9: Once your details have been checked, a data validation message will appear: either the entered details are correct and you can save them, or some information may be missing or incorrect.

When there are some issues or missing information, the validation message will appear in “Red” along with the details of the issue.

Once the details have been checked, click on “Save”.

Step 10: The record of the exercise can be seen by clicking “Cap Table” on the left side to get a drop-down menu and selecting “Secondary Transactions”. On this page, click on “Exercises” to verify if the grant is exercised.

For more information on Eqvista check out our support articles or get in touch with us today!