Common use of Affiliate Loans and Guaranties Clause in Contracts

Affiliate Loans and Guaranties. Without the prior written consent of the holders of a majority of the total outstanding shares of Series E-1 Preferred Stock and Series E-2 Preferred Stock combined, the Company will not incur or permit to exist any of the following, except with respect to a wholly-owned subsidiary of the Company; (a) other than as reflected in the HP Convertible Note, any obligation of the Company to repay money borrowed owing to any Affiliate of the Company or any other holder of shares of the Capital Stock of the Company; or (b) any obligation, to any Person, which obligation is assumed or guaranteed by the Company and which is an obligation of any Affiliate of the Company or any other holder of shares of the Capital Stock of the Company (excluding, in the case of clause (b), any obligation of the Company which is not owed to an Affiliate of the Company or to an Affiliate or to any other holder of shares of the Capital Stock of the Company). This Section 4(g) shall not apply to (1) any obligations under the Stock Purchase Agreement or with respect to shares of Series E-1 Preferred Stock or Series E-2 Preferred Stock, (2) Investments (as defined in the Stock Purchase Agreement) in the Company or (3) Indebtedness (as defined in the Stock Purchase Agreement) identified on Schedule 4.19 to the Stock Purchase Agreement.

Appears in 2 contracts

Samples: Stock Purchase Agreement (Displaytech Inc), Stock Purchase Agreement (Displaytech Inc)

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Affiliate Loans and Guaranties. Without the prior written consent of the holders of a majority of the total outstanding shares of Series E-1 Preferred Stock and Series E-2 Preferred Stock combined, the Company will not incur or permit to exist any of the following, except with respect to a wholly-owned subsidiary of the Company; : (a) other than as reflected in the HP Convertible Note, any obligation of the Company to repay money borrowed owing to any Affiliate of the Company or any other holder of shares of the Capital Stock of the Company; , or (b) any obligation, to any Person, which obligation is assumed or guaranteed by the Company and which is an obligation of any Affiliate of the Company or any other holder of shares of the Capital Stock of the Company (excluding, in the case of clause (b), any obligation of the Company which is not owed to an Affiliate of the Company or to an Affiliate or to any other holder of shares of the Capital Stock of the Company). This Section 4(g) shall not apply to (1) any obligations under the Stock Purchase Agreement or with respect to shares of Series E-1 Preferred Stock or Series E-2 Preferred Stock, (2) Investments (as defined in the Stock Purchase Agreement) in the Company or (3) Indebtedness (as defined in the Stock Purchase Agreement) identified on Schedule 4.19 to the Stock Purchase Agreement.

Appears in 2 contracts

Samples: Stock Purchase Agreement (Displaytech Inc), Stock Purchase Agreement (Displaytech Inc)

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