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clock Created with Sketch. 04/08/22
14:16
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Originally posted by traderforever:
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I just read my pre-IPO term sheet. I think I know why they want to extend the date for another 3 months, because their 12 months is up and they don't want our shares issued at a 40% discount to IPO, but at 20% discount to IPO. Below is the quoted section from "Conversion price (listed and unlisted)""Upon an Admission Condition being satisfied, and at election of the Company, the Convertible Notes can be converted into ordinary (common) shares in the Company at a price equal to a 20% discount to the IPO price (e.g. $0.16/share). Conversion is subject to confirmation the allotment will not breach the Corporations Act 2001 (Cth) (e.g. 19.99% takeover rule). In the event, no Admission Condition event occurs before Maturity, then the Convertible Note will automatically convert at a 40% discount to the planned IPO price (A$0.12/share)."
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Which is why I did not want to extend as I am expecting my stock at 12c as they missed the deadline? May be incorrect here.
