Deferred Underwriting Discount Sample Clauses
A Deferred Underwriting Discount clause specifies that the payment of underwriting fees or discounts to underwriters will be postponed until a later date, rather than being paid upfront at the time of a securities offering. In practice, this means that the underwriters agree to receive their compensation after certain conditions are met, such as the successful closing of the transaction or the achievement of specific milestones. This arrangement helps issuers manage their cash flow more effectively and aligns the interests of the underwriters with the successful completion of the offering.
Deferred Underwriting Discount. It is agreed by the Underwriters that an amount equal to approximately 42.86% percent of the Underwriting Discount (or $0.24 per Unit or three percent (3.0%) of the gross proceeds raised in the Offering) shall be deposited in the Trust Fund and shall be paid to the Underwriters only upon the consummation of the Business Combination.
Deferred Underwriting Discount. Upon the consummation of the initial Business Combination, the Company will pay to the Underwriters the Deferred Underwriting Discount. Payment of the Deferred Underwriting Discount will be made out of the proceeds of this offering held in the Trust Account. The Underwriters shall have no claim to payment of any interest earned on the portion of the proceeds held in the Trust Account representing the Deferred Underwriting Discount. If the Company fails to consummate its initial Business Combination within the required time period set forth in the Registration Statement, the Deferred Underwriting Discount will not be paid to the Underwriters and will, instead, be included in the liquidation distribution of the proceeds held in the Trust Account made to the holders of the IPO Shares (as defined in Section 3(w)). In connection with any such liquidation distribution, the Underwriters will forfeit any rights or claims to the Deferred Underwriting Discount, including any accrued interest thereon.
Deferred Underwriting Discount. If the Company fails to consummate a Business Combination within the required time period set forth in the Registration Statement, the Deferred Underwriting Discount will not be paid to the Underwriters and will, instead, be included in the liquidation distribution of the proceeds held in the Trust Account made to the holders of the IPO Shares (as defined in Section 3(v)). In connection with any such liquidation distribution, the Underwriters will forfeit any rights or claims to the Deferred Underwriting Discount, including any accrued interest thereon.