Distribution by Underwriters Sample Clauses
The 'Distribution by Underwriters' clause defines the terms and conditions under which underwriters are permitted to distribute securities to investors. Typically, this clause outlines the procedures for offering, selling, and allocating the securities, including any restrictions on timing, pricing, or eligible purchasers. For example, it may specify that underwriters must comply with applicable securities laws and may only sell to certain classes of investors. The core function of this clause is to ensure an orderly and compliant distribution process, minimizing legal risks and clarifying the responsibilities of underwriters in the offering.
Distribution by Underwriters. The managing underwriter or underwriters selected for any offering shall enter into an agreement with the Company and the Stockholders whereby the underwriters shall be prohibited from (i) distributing 5% or greater of the Registrable Securities to any Person in connection with the initial placement of the Registrable Securities for the offering and from (ii) distributing 5% or greater of the Registrable Securities to any Person for 90 days after such initial placement.
Distribution by Underwriters. The managing Underwriter selected for any offering shall enter into an agreement (containing customary indemnification provisions and representations and warranties) with the Company and the Holders whereby the Holders shall direct the underwriters to take reasonable steps to ensure a wide distribution of the underwritten shares in accordance with customary practices and that after giving effect to any such sale, no purchaser (together with its Affiliates) would Beneficially Own four and nine-tenths percent (4.9%) or more of the outstanding Shares of the Company as of such time.