DTC Undertaking Clause Samples
A DTC Undertaking is a contractual commitment made by a party to comply with the rules and requirements of the Depository Trust Company (DTC), which is a central securities depository in the United States. This clause typically requires the party to ensure that any securities issued or transferred are eligible for DTC services, and to take necessary actions to maintain such eligibility, such as providing required documentation or notifications. The core practical function of this clause is to facilitate the efficient electronic settlement and transfer of securities, thereby reducing administrative burdens and minimizing settlement risks for all parties involved.
DTC Undertaking. The Company shall use commercially reasonable efforts to exchange each holder’s Warrants for book-entry interests in a global Warrant at The Depositary Trust Company with an unrestricted CUSIP no later than the date that is 370 days from such Warrants’ issuance date (or such shorter period of time if permitted under the securities laws or if such Warrants are sold under Rule 144 or under a registration statement).
DTC Undertaking. On or after the Lock-Up Termination Date, the Company shall use reasonable best efforts to cause any Holder’s Warrants to be held in book-entry form through the facilities of The Depository Trust Company as promptly as practicable following such Holder’s request, to the extent that such Warrants are then permitted to be so held through the facilities of The Depository Trust Company.