Ackman likely bought some cheap way out of the money calls when this was 26 bucks.
His risk I'd say is quite limited. While Icahn hates Ackman, does he hate him enough to waste away half of his wealth to buy a fraudulent company? I'd say he is a smarter business man (or at least I hope so).
Its possible. It would be foolish of him not to. Bigger wallets always win. Even if there wasnt a team of hedge funds taking advantage of the situation, carl alone, if he wanted to, can hurt ackman by hundreds of millions or a billion if he set a high bar for a tender offer, only to take it back public afterwards.
I'm sick of these posts disputing the idea that ackman is hedging his positions with call optons or closing out his shorts because "it hurts his reputation". Its about money. Reputation no reputation who gives a fack. People are forgetting or probably dont know, he was the center of a lot of controversy in the past also. Never phased him a bit. You make money, and you're the only one laughing. I think he is fully hedged. I think icahn, if he really wanted to squeeze him, has lost his chance now. After the 13D was released, he needed to move fast to make the tender to fix in the price that will ensure at least a calculatable squeeze or loss of profits for ackman.