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Ann: 2016 Annual Report & Corporate Governance Statement-CNX.AX, page-11

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    I will post the details by copy and paste as the link seemed to have failed.

    Attachment 1 – Pacific Road Capital Convertible Loan Facility Under the proposed Convertible Loan Facility:
    Pacific Road Capital will provide an initial $2 million with the balance of $8 million to be provided subject to conditions including the approval by shareholders of certain conversion and security rights contained in the Convertible Loan Facility, legal due diligence and required ASX approvals and, in the event these conditions are not satisfied or waived by 31 December 2011, the initial $2 million loan will become repayable by the Company to Pacific Road Capital;
    Pacific Road Capital may convert the Convertible Loan Facility into Shares at any time at $0.15 each, being a 25% premium to the Rights Issue Price, and the Company has a similar right in the event that after 18 months its share price exceeds a 60 day volume weighted average of A$0.40 ;
    Pacific Road Capital will be entitled to a fee of 5% and reimbursement of legal costs up to $75,000 and be granted 35 million options to subscribe for Shares exercisable at $0.1875 per Share (a 56% premium to the Rights Issue Price) at any time over the 5 year term of the Convertible Loan Facility ;
    The Company is required to pay interest on a quarterly basis at 5% per annum which is payable by way of the issue of Shares at the 5 day VWAP for the Shares on the ASX prior to the day a payment is due;
    Pacific Road Capital is entitled to be issued with additional Shares on the conversion of the Convertible Loan Facility in the event that the Company raises new equity within 18 months at less than $0.12 per Share;
    The Company will agree, to give security over certain intellectual property. The provision of the Convertible Loan Facility is subject to a number of conditions including shareholder approval, legal due diligence, required ASX approvals and execution of legal documentation. In particular, the terms of the Convertible Loan Facility which give Pacific Road Capital rights to be issued with Shares and those which grant Pacific Road Capital security rights over certain intellectual property will not become binding until the necessary shareholder approvals have been obtained. The Company intends to seek the necessary shareholder approvals in connection with the Convertible Loan Facility before the end of 2011. Further details regarding the Convertible Loan Facility will be provided to shareholders in the notice of meeting to be sent to shareholders in connection with those approvals.
 
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Currently unlisted public company.

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