Contracts that may be settled in entity’s own equity instruments on net basis

I wasn’t able to understand the Contracts that may be settled in entity’s own equity instruments on net basis when I was going through an example which says, ‘that an an entity entered into a contract to buy a car after 2 months and the consideration will be paid in form of 10000 shares after 2 months’
After 2 months the fair value of the car was 7,000,000 and the value of 10000 shares was 7,300,000.
It was then written If the entity was to give 10000 shares valuing at 7300000 as a consideration for the purchase of car to the supplier then there will be a loss of 300,000 which I was able to understand.
It was then written (the point which I was not able to understand) “the entity will issue its own shares valuing 300,000 to settle the transaction on net basis to cancel the deal of purchase as it is not beneficial for it”
Kindly explain the reason behind why the entity will issue its own shares of value 300000 to settle the transaction on the net basis and secondly what is the meaning of, “the contract will be settled in own equity instruments on net basis and there will be no physical delivery of goods and services”