I think it means doesn't value because convertible notes set an upper cap on a valuation, but don't actually set the valuation. e.g. the next round could be at

I think it means doesn't value because convertible notes set an upper cap on a valuation, but don't actually set the valuation. e.g. the next round could be at $40mm, and if it's priced, then this $5mm note would be at $40mm (minus any discount on the note). or if the next round is at $100mm, then this note would be at $80mm.