I read it - "up to" is standard wording for any IPO/cap raise to...

I read it - "up to" is standard wording for any IPO/cap raise to ensure a resolution allows for movements in share price.

I think you're looking at it backward. The company doesn't have to issue 4m shares, and preferably doesn't want to; they just need the capacity to issue "up to" that amount.

If the US investment bank has indicated they'll invest US$20m, 4m shares will need to be issued at US$5. Ideally though, any company would prefer their share price to be higher, and issue less stock for less overall dilution. You'd rather issue 2m new shares at US$10 for the same $20m cash.

You could maybe argue that the US bank would like to get twice the shares for their money, but your suggestion that the company and management want that makes no sense. Saying that they are shorting their own stock to make it happen absolutely makes no sense, and it just isn't happening. Not only would it be illegal, it would only dilute their own holdings far more than necessary.