Ann: Appendix 4C - quarterly, page-42

In the event that the short fall shares aren't placed and instead this loan amount is converted to shares then there will be negligible difference in dilution than if the funds had been raised via the originally intended mechanism, right?

Since the 4C states the following, In January 2020, JAT borrowed a further $5 million from Topwei Two Pty Ltd for a term of up to one year. The funds were utilised for the $4 million instalment of purchase price for ANMA ... and working capital. JAT may repay the loan at any time. The lender may, subject to shareholder approval, request that repayment of the loan take place by converting the loan to shares at 85% of 10 business day VWAP prior to the date of repayment)

It therefore plausibly follows this was undertaken due to the lack of success of the rights issue to meet the commitments of said issue and as you correctly state, may well be converted to shares. Even converted to shares at 85% VWAP that could be analogously viewed as an unsecured 12 month $5m loan at 15%, which is within market lending rates anyway.

Obviously the above is my musings only, do you see it differently in terms of dilution?