Well, it will. 71 cents divided by the consolidation ratio of 6 is $0.118, which is only fractionally lower than the reset price agreed to on Feb 26th of $0.12105.
See:
"The Company advises that following the completion of the Share Consolidation, January Placement and February Placement, an adjustment of the Conversion Price is required under the terms of the Convertible Notes. Effective 9 March 2016, the Conversion Price of the Convertible Notes will be increased from S$0.12105 to S$0.71".
You can multiply the number of issued shares by 6 or you can divide the conversion price by 6, it doesn’t matter. Either way the equation is the same and the conclusion is that the Note holder paid only what was required of them, not more.
LNC Price at posting:
99.5¢ Sentiment: None Disclosure: Not Held
