Worthless indeed. It takes 5 options for 1 share of BH. Rights trade at $22.21.
For 5 rights, 5 x $22.21 = $111.05.
Current BH Price is $362.90
Profit = $362.90 - $250.00 = $112.90
Conclusion: It will cost you $111.05 to buy 5 rights or options in return to make $112.90. You net out $1.85 before commission. Assume commission is $10. You lose $8.15 ($1.85 - $10). Essentially, you lose $8.15 and also interest and opportunity cost for your money. Why Waste the effort?
Whenever rights are issued they are based on the share price at the time of issuance. In some instances shareholder are richly rewarded when the share price dramatically increases. In this case the share price has continued to decline.