convertible notes questions, page-16

'The query is at the point where the company can convert and this situation could be triggered by a takeover.'

As I read Clause 8 the company has the discretion in the event of a default, other than a takeover, only if the Noteholder requests Redemption or Conversion.

In the event of a takeover, the company the company must Convert the notes but only if the noteholder so elects.

My feeling is that these stipulations were'nt written with a liquidation in mind, but were to cater to an event where the Noteholder would find a Conversion more favourable than a redemption if there was a default.

On a liquidation, the company 'must Redeem all of the Notes that are on issue at the time'.

Please correct me if you have a different understanding.

Regards