Common use of Mandatory Prepayment Event Clause in Contracts

Mandatory Prepayment Event. If at any time any single person, or group of persons acting in concert (as defined in the City Code on Takeovers and Mergers), acquires control (as defined in Section 416 of the Income and Corporation Taxes Act 1988) of the Parent then the Parent will notify the Agent within thirty days and the Agent will, if instructed to do so by the Majority Banks, by notice to the Parent given no earlier than ninety days after the date that notice is given to the Agent: (a) call for prepayment of all the Advances on such date as it may specify in such notice whereupon all the Advances shall become due and payable on such date together with accrued interest and any other sums then owed by the Obligors under the Finance Documents; (b) call for each Borrower to perform its obligations under Clause 8.3 (Payment of Bills) in respect of all outstanding Bills on such date as it may specify in such notice as if such date were the Maturity Date of each of those Bills; and (c) declare that the Total Commitments shall be cancelled, whereupon the Total Commitments shall be cancelled and the Commitment of each Bank shall be cancelled and reduced to zero. -------------------------------------------------------------------------------- --------------------------------------------------------------------------------