A strike price (Swedish: lösenpris), also called exercise price, is the set price per share at which the holder of an option has the right to buy or sell the underlying share. For warrants, the term subscription price is often used.
In a stock option program, the strike price and vesting determine what the option is worth to the participant. If the share's value is below the strike price, it is an out-of-the-money option. On option exercise, new shares are entered in the share ledger.

An option gives the holder the right, but not the obligation, to buy or sell an asset at a set price.
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Option exercise means the option holder uses their right to buy or sell the underlying asset.
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The subscription price is the price per share to be paid for new shares in a new share issue.
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A stock option program gives, for example, employees the right to buy shares in the future.
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