https://www.optiontradingpedia.com/what_happens_to_options_during_bankruptcy.htm
The most recent example of this are put options on the collasped Lehman Brothers (ex-Ticker : LEH) which filed for bankruptcy on 14 Sep 2008. After filing for bankruptcy, Lehman Brothers' shares moved from the exchange to the OTC market (Ticker Symbol LEHMQ or LEHMQ.PK) where it traded at $0.05 per share on 18 Sep 2008. That is when put option holders can choose to exercise the put options by buying the shares at $0.05 and selling it at the strike price for a big profit.
