Question
Short-sellers are responsible for paying dividends to the lender of the stock. A couple of years ago, Overstock announced that it would pay a special
Short-sellers are responsible for paying dividends to the lender of the stock. A couple of years ago, Overstock announced that it would pay a special dividend to its shareholders. This special dividend would be a lot like Overstocks common stock, but it would only trade on Overstocks own blockchain platform. Additionally, it would not be tradeable at all for its first six months. After this special dividend announcement, Overstocks share price went up dramatically. Offer an explanation, related to short-selling, why there was this price increase.
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