What happens to unvested stock options I'd the start up gets acquired.
I got an offer from a series A startup of 100k number(quantity) of shares to be vested over 4 yrs. Recently there were rumors of google trying to acquire the company. What happens to the stock options if the company gets acquired within 1 yr of my joining i.e. before I vest any stock. Also is it worth joining the company because of the rumors of it getting it acquired by google.TC offered by the startup 175K I have an another offer from a large company with TC 300K Thanks in advance. Current TC 200k. YOE 8 yrs.
I wouldn’t decide my compensation based on rumors but that’s just me
Others are right, in that it's up to the terms of the acquisition. It could be converted to GOOG, cash, any number of options. However, you will likely get the equivalent value based on the price per share in the acquisition. If they didn't do that, there would be the possibility a shareholder lawsuit. Your management is incentivized to get the most value per share out of Google, and it's in Google's best interest to keep the employees of the acquisition happy.
It depends on the terms of acquisition. Even the CEO of the startup doesn't know.