Warrants - pershing square tontine

Not sure if there’s a thread on this already.

I hold a ton of PSTH stock, which gives me 2-9 warrants if I hold through merger.

What’s the process to exercise those warrants?

I may be wrong because I’m no Spac expert: however, as I understand it, PSTH is what’s called ‘common stock’, which does not include the warrants. Hopefully, someone more knowledgeable can clarify whether that is correct.

Nope, I spoke to PSTH’s investor relations team.

PSTH.U stockholders get the warrants if they hold the shares through to the merger, but if they sell them beforehand those warrants rights go to whoever the buyer is.

Similar to the Tesla stock split.

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I stand corrected. Only raised it because I remember reading that T212 was unable to add PSTH.U because it cannot provide warrants. I was under the impression that PSTH.U was the ‘units’ then a split took place that saw the common stock (PSTH) and warrants (PSTH.WS) trade separately.

This is why I tend to avoid Spacs, they’re horrendously complicated and I don’t want to invest in something I don’t fully understand. If anyone could explain it in layman’s terms, that’d be helpful because I’m clearly missing something!

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As I understand it, SPACs usually split the units into shares and warrants after 52 days. T212 can only add the stock, so you only buy the stock on T212 (no warrants).

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Hello @Jetsetter1993,

PSTH.U consist of a common stock + 1/9 of a warrant, for which we are unable to provide the ability to exercise, hence what is tradable via our platform is the common stock (PSTH). You can distinguish them by their ISIN.

If you purchased through 212, then you don’t hold PSTH.U, you hold PSTH, common stock.

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With PSTH commons stock you’re still awarded 2/9 of a warrant per share held through the merger, correct?

Does Trading 212 support their issuance?


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Yep, this is confirmed in the S1 filing. Warrants will be distributed to all common stock holders that do not redeem before the merger, and since there’s a fixed pool of warrants the distribution ratio may be even higher than two-ninths - could someone confirm how these would be dealt with @PeterA?

@gpgdk It won’t be dealt in any way, you will not get anything. It was answered previously.

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My guess would be that T212 will sell the warrants at closing price (which may be quite low) and give you the proceeds

Hi Peter, I saw online that someone has posted a screenshot of the live chat with T212 and they mentioned that PSTH holders (on T212) will be given cash equivalents to the warrants. Is this true?


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+1 Any clarification on this would be much appreciated.

Paging this urgently as Bill Ackman has tweeted and an announcement is due as early as tomorrow…

@David sorry to ping you as well but just in case it’s been missed. Thanks.

That’s true.
I have heard that they will sell the warrants and distribute the cash accordingly, like a dividend. Would be great to hear a precise response on here :slight_smile:


I just asked support and they confirmed that they will “distribute the cash equivalent”!