Company Exercise Clause Samples
The "Company Exercise" clause defines the company's right to exercise certain options or rights, typically related to equity, warrants, or convertible securities. In practice, this clause outlines the conditions under which the company may initiate the conversion or purchase of securities, such as specifying notice periods, pricing mechanisms, or triggering events. Its core function is to provide the company with flexibility and control over its capital structure, ensuring it can act strategically in response to business needs or market conditions.
Company Exercise. At any time following the sixty (60) day anniversary of the final Closing Date or termination of the Offering, if (i) the Company is listed on a Trading Market that is a senior exchange such as The NASDAQ Global Market, The NASDAQ Global Select Market, The NASDAQ Capital Market, or the New York Stock Exchange, (ii) the Warrant Shares are registered, which registration is and remains effective, or the Holder otherwise has the ability to trade the Warrant Shares without restriction, (iii) the daily VWAP for the prior twenty (20) consecutive Trading Days is $6.00 or more (adjusted for splits and similar distributions) and (iv) the daily trading volume is at least $1,000,000 during such twenty (20)-day period (the events set forth in clauses (i) through (iv) above, collectively, the “Conditions”), then the Company can demand, upon five (5) Business Days’ notice that the Holder exercise this Warrant, pursuant to Section 2.1 hereof and subject to the limitations of Section 10, as long as the Conditions remain in effect. The exercise referenced in this Section 2.6 shall be at the Exercise Price, including any Exercise Price modified pursuant to the provisions of Section 5 hereof (exclusive of Section 5.4). For the avoidance of doubt, in no instance may the Company demand an exercise under this Section 2.6 if there is no effective registration statement covering the shares underlying the Warrant.
Company Exercise. At any time following the sixty (60) day anniversary of the final Closing Date or termination of the Offering, if (i) the Company is listed on a national securities exchange or quoted on the over-the-counter markets, (ii) the Warrant Shares are registered, which registration is and remains effective, or the Holder otherwise has the ability to trade the Warrant Shares without restriction, (iii) the daily VWAP for the prior twenty (20) consecutive Trading Days is $6.00 or more (adjusted for splits and similar distributions) and (iv) the daily trading volume is at least $1,000,000 during such twenty (20)-day period (the events set forth in clauses (i) through (iv) above, collectively, the “Conditions”), then the Company can demand, upon five (5) Business Days’ notice that the Holder exercise this Warrant, pursuant to Section 2.1 hereof and subject to the limitations of Section 10, as long as the Conditions remain in effect. The exercise referenced in this Section 2.6 shall be at the Exercise Price, including any Exercise Price modified pursuant to the provisions of Section 5 hereof (exclusive of Section 5.4). For the avoidance of doubt, in no instance may the Company demand an exercise under this Section 2.6 if there is no effective registration statement covering the shares underlying the Warrant.