Borrowing Gap Clause Samples

The Borrowing Gap clause defines the maximum allowable difference between the amount a borrower is permitted to borrow and the actual amount borrowed at any given time. In practice, this clause sets a limit or threshold, ensuring that the borrower does not exceed a specified borrowing capacity, which may be calculated based on collateral value, outstanding loans, or other financial metrics. Its core function is to manage credit risk and protect the lender by preventing overextension of credit beyond agreed-upon limits.
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Borrowing Gap. The Borrower shall ensure a sufficient foreign debt borrowing gap as determined pursuant to the then applicable laws and regulations (to cover the then outstanding loan amount and relevant unpaid sum) (the “Borrowing Gap”) in the event that the Guarantee is called. Under such circumstances, the Borrower shall take all necessary steps and procedures required to, and shall procure that the direct shareholder of the Borrower will, obtain, as soon as practicable, all necessary governmental and corporate approval in respect of a capital injection into the Borrower in the form of shareholder’s equity to achieve such Borrowing Gap.
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Borrowing Gap. The Guarantor shall ensure a sufficient foreign debt quota of the Borrower as determined pursuant to the then applicable laws and regulations (to cover the then outstanding loan amount and relevant unpaid sum) (the “Borrowing Gap”) in the event that this Guarantee is called. Under such circumstances, the Guarantor shall take all necessary steps and procedures required to obtain, as soon as practicable, all necessary governmental and corporate approval in respect of a capital injection into the Borrower in the form of shareholder’s equity to achieve such Borrowing Gap.
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Borrowing Gap. The Borrower shall ensure that the aggregate of (a) its net assets based on its most recent audited financial statements delivered pursuant to Clause 18.1(i) and (b) its borrowing gap as determined pursuant to the then applicable laws and regulations (the “Borrowing Gap”) is sufficient for the purpose of short-term foreign debt registration with the State Administration of Foreign Exchange, as referred to in the paragraph below, in the event that the Guarantee is called. Under such circumstances, the Borrower shall take all necessary steps and procedures required to, and shall procure that the direct shareholder of the Borrower will, obtain, as soon as practicable, all necessary governmental and corporate approval in respect of a capital injection into the Borrower in the form of shareholder’s equity to achieve such Borrowing Gap. In the event that the Guarantor is required to perform under its payment obligation set forth in the Guarantee, the Borrower shall complete all required short-term foreign debt registrations with the State Administration of Foreign Exchange within fifteen (15) Business Days following the performance by the Guarantor of such payment obligations.
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Borrowing Gap. The Borrower shall ensure that the outstanding amount of the aggregate Borrowing or Unpaid Sum shall not exceed the difference between the amount of the total investment and the paid-up capital of the Borrower which is then available for incurring foreign debt (the “Borrowing Gap”). The Borrower shall take all necessary steps and procedures required to obtain, as soon as practicable, all necessary governmental and corporate approval in respect of the increase of total investment and/or a capital injection into the Borrower in the form of shareholder’s equity sufficient for maintaining the Borrowing Gap and for the Borrower to fulfill its obligations under this Agreement.
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Borrowing Gap. The Guarantor shall ensure that the aggregate of (a) the Borrower’s net assets based on its most recent audited financial statements delivered pursuant to Clause 18.1(i) of the Facility Agreement and (b) the Borrower’s borrowing gap as determined pursuant to the then applicable laws and regulations (the “Borrowing Gap”) is sufficient for the purpose of short-term foreign debt registration with the State Administration of Foreign Exchange in the event that this Guarantee is called. Under such circumstances, the Guarantor shall take all necessary steps and procedures required to obtain, as soon as practicable, all necessary governmental and corporate approval in respect of a capital injection into the Borrower in the form of shareholder’s equity to achieve such Borrowing Gap.
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Related to Borrowing Gap

  • Borrowing Upon receipt of Proper Instructions, the Custodian shall deliver securities of a Portfolio to lenders or their agents, or otherwise establish a segregated account as agreed to by the applicable Fund on behalf of such Portfolio and the Custodian, as collateral for borrowings effected by such Portfolio, provided that such borrowed money is payable by the lender (a) to or upon the Custodian's order, as Custodian for such Portfolio, and (b) concurrently with delivery of such securities.

  • Procedure for Borrowing Swingline Loans The Borrower shall give the Agent and the Swingline Lender notice pursuant to a Notice of Swingline Borrowing or telephonic notice of each borrowing of a Swingline Loan. Each Notice of Swingline Borrowing shall be delivered to the Swingline Lender no later than 3:00 p.m. on the proposed date of such borrowing. Any such notice given telephonically shall include all information to be specified in a written Notice of Swingline Borrowing and shall be promptly confirmed in writing by the Borrower pursuant to a Notice of Swingline Borrowing sent to the Swingline Lender by telecopy on the same day of the giving of such telephonic notice. On the date of the requested Swingline Loan and subject to satisfaction of the applicable conditions set forth in Article V. for such borrowing, the Swingline Lender will make the proceeds of such Swingline Loan available to the Borrower in Dollars, in immediately available funds, at the account specified by the Borrower in the Notice of Swingline Borrowing not later than 4:00 p.m. on such date.

  • Revolving Borrowings Subject to the terms and conditions set forth herein, each Revolving Lender severally agrees to make loans (each such loan, a “Revolving Loan”) to the Borrower, in Dollars, from time to time, on any Business Day during the Availability Period, in an aggregate amount not to exceed at any time outstanding the amount of such Lender’s Revolving Commitment; provided, however, that after giving effect to any Revolving Borrowing, (i) the Total Revolving Outstandings shall not exceed the Revolving Facility, and (ii) the Revolving Exposure of any Lender shall not exceed such Revolving Lender’s Revolving Commitment. Within the limits of each Revolving Lender’s Revolving Commitment, and subject to the other terms and conditions hereof, the Borrower may borrow Revolving Loans, prepay under Section 2.05, and reborrow under this Section 2.01(b). Revolving Loans may be Base Rate Loans or Eurodollar Rate Loans, as further provided herein; provided, however, any Revolving Borrowings made on the Closing Date or any of the three (3) Business Days following the Closing Date shall be made as Base Rate Loans unless the Borrower delivers a Funding Indemnity Letter not less than three (3) Business Days prior to the date of such Revolving Borrowing.

  • Initial Borrowing Before or concurrently with the initial Borrowing: (a) The Administrative Agent shall have received the favorable written opinion of L▇▇▇▇▇ & W▇▇▇▇▇▇, counsel to Borrower; (b) The Administrative Agent shall have received copies of the Borrower’s (i) Articles of Incorporation, together with all amendments and (ii) bylaws (or comparable constituent documents) and any amendments thereto, certified in each instance by its Secretary or an Assistant Secretary; (c) The Administrative Agent shall have received copies of resolutions of the Borrower’s Board of Directors authorizing the execution and delivery of the Credit Documents and the consummation of the transactions contemplated thereby together with specimen signatures of the persons authorized to execute such documents on the Borrower’s behalf, all certified in each instance by its Secretary or Assistant Secretary; (d) The Administrative Agent shall have received for each Lender that requests a Note, such Lender’s duly executed Note of the Borrower dated the date hereof and otherwise in compliance with the provisions of Section 2.9(a) hereof; (e) The Administrative Agent shall have received a duly executed counterpart of this Agreement from each of the Lenders and the Borrower; (f) The Administrative Agent shall have received a duly executed Compliance Certificate containing financial information as of March 31, 2009; (g) Except as set forth on Schedule 6.1, neither the Borrower nor any of its Subsidiaries shall have, during the period from March 31, 2009 to the Closing Date, issued, incurred, assumed, created, become liable for, contingently or otherwise, any material Indebtedness other than the issuance of commercial paper consistent with past practices; (h) The Borrower shall have paid to the Administrative Agent for the benefit of each Lender the applicable fees for providing its Commitment under this Agreement; (i) The Borrower shall have delivered the SEC Disclosure Documents which Nicor or the Borrower shall have filed with the Securities and Exchange Commission (or any governmental agency substituted therefore) or any national securities exchange on or after January 1, 2009; (j) The Credit Agreement, dated as of August 11, 2008, among the Borrower, the Administrative Agent and the other financial institutions party thereto has terminated (upon maturity or otherwise) in accordance with its terms; and (k) The Administrative Agent shall have received such other documents and information as it may reasonably request. By executing this Agreement, the Administrative Agent and each of the Lenders agrees that each condition set forth in this Section 6.1 has been satisfied.