My company has sold a convertible note with a cash repayment opion at maturity. Does ASC 470 apply?

It appears that ASC requires me to compute the value of "the discount value of the equity conversion value" and a present value of the repayment value of the note and accumulated interest, so that I can show a separate loan and equity position in the BS over the term of the note.
In this case, the term of the note is less than one year, and there is a very very high probability that the Company will convert the note at maturity since it does not have, and is not expected to have, the cash to consider the repayment option. Essentially, this is an equity transaction from the beginning, but structured as a loan.

Is it reasonable to argue against application of ASDC 470 on the grounds that this is in essence, an equity transaction and that interest savings are immaterial?