Common use of Effect of Exercise of Conversion Right Clause in Contracts

Effect of Exercise of Conversion Right. (1) Upon the exercise of the Conversion Right pursuant to Section 4.1 and subject to Section 4.3, the Common Shares subscribed for shall be deemed to have been issued and the Person or Persons to whom such Common Shares are to be issued shall be deemed to have become the holder or holders of record of such Common Shares on the Conversion Date (i) unless the transfer registers of the Corporation shall be closed on such date (including by application of any Applicable Law), or (ii) such notice of conversion is withdrawn, revoked or cancelled in accordance with Section 4.1(4), and in the case of (i) the Common Shares subscribed for shall be deemed to have been issued and such Person or Persons deemed to have become the holder or holders of record of such Common Shares, on the date on which such transfer registers are reopened.