Land & Homes Group Limited (ASX:LHM) announced a private placement of unsecured convertible notes for gross proceeds of up to AUD 3,000,000 on October 31, 2017. The company will issue class A notes at an interest of 9% per annum and class B notes at an interest of 13.8% per annum. The notes are issued for a term of 5 years payable at the end of each quarter and on conversion or redemption. Each note will have a face value of AUD 0.02 and notes shall be issued in batches having an aggregate face value of not less than AUD 20,000. The transaction will include participation from S.LH Treasury Pte Ltd for AUD 250,000 and further AUD 250,000, if the balance is not raised by the company. The notes shall be redeemable by paying the full face value together with all accrued but unpaid interest in full at any time after 30 months following the date of issue, subject to a notice of 21 days in writing. Each note will entitle the holder for conversion at 80% of the volume weighted average price of its ordinary shares over the 15 trading days prior to the date of conversion and freely convertible freely convertible at the option of the holder in multiples of 50,000 at any time during the term. The notes will be repayable on demand following the occurrence of an event of default. The transaction is subjected to approval from shareholders of the company which it must seek within 3 months. The repayment will be made within 9 months from the date of issue is such shareholder approval is not obtained. The notes will be issued at par.