Ann: Appendix 3B - Part Conversion of Convertible Security, page-68

Below is a perspective on the current convertible note as it stands.

*it is not to be relied upon (please seek your own advice) as some of these figures represent estimations/assumptions of a price the noteholder would sell shares at post conversion.

There appears to be a pattern of convertible note conversion into -> price sensitive announcement raised by the following poster: https://hotcopper.com.au/threads/communication.3438105/page-2#post-24824553

I am left asking the question is this a coincidence? and what collateral did Xped give up in return to re-arrange some of the convertible note terms?

The convertible note was announced Nov-15 with the headline: "Xped secures up to $10,000,000 Premium to Market Convertible Note Offering" ref: http://www.stocknessmonster.com/news-item?S=XPE&E=ASX&N=460391 the truth seems to be far from this. From the work detailed by @RobbieinAus you can see the underlying convertible note, is in fact, granted at a fixed 15.79% discount on conversion.

Unfortunately, that is not the only issue I see here. The convertible noteholder has been selling shares on the market which given such a significant volume has pushed the share price down as they sell. Each pip the share price drops, in return, the number of shares granted on the next conversion increases and other shareholders are diluted a bit more each time. Kind-of-like a vicious cycle of wealth destruction.

As a shareholder, I am ropeable at the way the announcement was presented compared to the reality of the capital raising. To make matters worse (could they get any worse?) an advisor remunerated for the capital raising, as listed in the prospectus, is also our investor relations contact. I am left asking the question is this a coincidence?

These are facts/opinions for you to gather your own thoughts on.







RR