asf, they bought (though I only saw the instos go up to 16.5c) because they were getting a free put in the deal. If the AGL price fell back below 15c - which wasn't impossible, they could still get cash back at that price. The downside risk below that was effectively taken away (assuming the deal went through, which doesn't seem to have been in doubt).
Free protection, plus a tiny arbitrage gain; what's not to like?
egm result, page-6
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