Ann: Silex and SQC Sign Expanded Commercial Arrangements, page-21

The strike price is 4.05 as clearly stated in the Section 3B is 4.05 no ifs buts or maybes, not conditional on any VWAP, concessions or anything.

Offer price details
Are the +securities proposed to be issued being issued for a cash
consideration?
In what currency is the cash
consideration being paid?
AUD - Australian Dollar
What is the issue price per (no clauses or condition)
+security?
AUD 4.05000

The number of subscription shares will be the lesser of i) the number of fully paid ordinary shares equal to $2m divided by
the volume weighted average price (VWAP) of SLX for the 10 trading days from the date of this announcement; or ii)
493,827 fully paid ordinary shares

Where in the above does it mention the price of the shares will be? It doesn't, it only determines the number of shares at the price of the stated 10 day VWAP. The strike price remains 4.05!!!
The number of shares allocated is based on the 10 day VWAP to determine that on todays price (or more correctly the 10 day VWAP) how many shares equate to 2 million. So if the VWAP price is above 4.05 they get less shares but the price they get them for 4.05 unconditional. It still means they have shares worth 2 million on the VWAP price but could possibly dump for a handy instant profit.

This is why there is a term for trading them, they could dump them straight away otherwise. Let's hope they haven't acquired a significant amount on market (below a level that need reporting) as they could, given the low liquidity of Silex at present, dump shares knowing they will get the at 4.05 without risk and get more because of the lower price.

The one constant in the 10 years I have been invested in SIlex is the fan brigade championing every move the company makes. (Hence the upvotes for incorrect analysis) It is still a high risk (but getting less so) high return stock and I wouldn't be putting in what I couldn't afford to lose. TRL6 failure would be catastrophic, although I think is very unlikely.