Baillieu Valuation of VEC, page-293

Hi Big K,

Note - All $ are in US$ as per VEC. See conversion at bottom of post.

Quote “The US$ 5 Million payment was financed by the issue of convertible notes totalling US$5.7 million as disclosed in note 1 of the half year Financial Report.”

((And an old note was rolled over!))

“(iii) The Convertible Note was held by Cuart Investments PCC Ltd, attracted interest at 9% per annum, had a face value of US$570,000 and a maturity date of 30 September 2018. The loan was refinanced on 8 October 2018.

The refinanced loan has a face value of US$1,000,000 and an interest rate of 9% per annum. Maturity date was extended to 31 March 2019.

The loan was convertible into ordinary shares, by mutual consent of the Company and Cuart Investments PCC Ltd, at the lesser of a fixed conversion price and 93 % of the lowest daily VWAP during the 10 trading days immediately prior to the conversion date.

the convertible note was, subsequently to period end, rolled into new convertible notes issue by Riverfort and MEF. Transaction costs of US$119,221 were incurred.”end quote



The original ~US$4.7m
Plus the refinanced and rollover US$1m

Total notes = ~US$5.7m


Point is original there was ~US$4.7m in notes, now there are

~US$5.7m in notes

Thoughts? Have I missed anything?


US$5.7m = A$7.98m


https://hotcopper.com.au/documentdownload?id=uOMxKKzFkiWRTLKhOROKAxjvTDYD4Q20yRSZtvJ6ke92GA==