Preferential Allocations Clause Samples
The Preferential Allocations clause establishes a priority system for distributing profits, losses, or assets among certain parties before others in a partnership or investment arrangement. In practice, this means that specific investors or partners receive their agreed-upon returns or capital back before any remaining amounts are shared among the rest of the participants. For example, early investors might be allocated a set percentage of profits before general distributions occur. The core function of this clause is to ensure that designated parties are compensated first, thereby managing risk and incentivizing investment by providing a clear order of payment.
Preferential Allocations. (a) During each fiscal year of the period commencing on the Inservice Expansion Date and ending on December 31, 2009 (the "Special Allocation Period") SWPL shall receive a special allocation of Partnership gross revenues (items of gross income and gain) in accordance with the formula set forth below. For purposes of this Section 5.4(a), a fiscal year shall be a calendar year except that the first fiscal year of the above described period shall commence on the Inservice Expansion Date and end on December 31 of the calendar year in which the Inservice Expansion Date occurs. Special Revenue Allocation = Base Amount - Increased Volume Amount, where:
(1) Base Amount = for each fiscal year during the Special Allocation Period, the amount specified on Schedule 5.4(a) for such fiscal year
Preferential Allocations. 6.1 Subject to paragraph 6.2 below, but notwithstanding any other provision of this letter or the other Commitment Documents, Finance Documents or Interim Finance Documents, we will (and we will procure that the other Financing Parties, Finance Parties (as defined in each Facilities Agreement) and Interim Finance Parties (as appropriate) will):
(a) permit (i) funds, investment vehicles or other persons advised or managed by the Sponsor or any of its Affiliates, (ii) limited partners in one or more of the funds or investment vehicles or other persons managed or advised by the Sponsor or any of its Affiliates or
Preferential Allocations. 11.1 Subject to paragraph 11.2 below, but notwithstanding any other provision of this letter or the other Commitment Documents, Finance Documents or Interim Documents, we will (and we will procure that the other Credit Parties, Finance Parties (as defined in the Facilities Agreements) and Interim Finance Parties (as defined in the Interim Facilities Agreement) (as appropriate) will):
(a) permit funds, investment vehicles or other persons advised or managed by the Triton Investors or any Affiliates of the Triton Investors (the “Preferred Funds”) to purchase up to 10% in aggregate (on a net of fees basis) of the aggregate principal amount of Facility B (EUR) and Facility B (GBP) (on a pro rata basis) and up to 10% in aggregate (on a net of fees basis) of the Second Lien Facility on the same terms as offered to the relevant Facility B Syndication Lenders or 2L Syndication Lenders (a “
Preferential Allocations. 10.1 Subject to paragraph 10.2 below but notwithstanding any other provision of this letter or the other Commitment Documents, Finance Documents or Interim Finance Documents, we will (and we will procure, in respect of our relevant Affiliates and Related Funds, that the other Commitment Parties, Finance Parties (as defined in the Facilities Agreement) and Interim Finance Parties (as defined in the Interim Facilities Agreement) (as appropriate) will):
(a) permit funds, investment vehicles, accounts or other persons advised or managed by the Sponsor or any of its Affiliates or Related Funds selected by the Sponsor (in its sole discretion) (the Preferred Funds) to purchase up to 24.99% in aggregate (on a net of fees basis) of any or all of the aggregate principal amount of the Facilities and up to 15.00% in aggregate (on a net of fees basis) of any Additional Facility on the same terms as offered to the Commitment Parties and/or the proposed Additional Facility Lenders (as applicable) (a Preferential Allocation), provided that (i) this shall not require any Preferred Fund to arrange, manage or make available any other commitments under or in respect of any Facility, Interim Facility or Additional Facility and (ii) any reduction in our commitments in any Facility required to accommodate a Preferred Allocation shall be made pro rata across that Facility to our (and any other Commitment Party's) respective commitments in that Facility unless otherwise agreed with us; and
(b) pass through to any Preferred Funds that purchase any such Preferential Allocation or (at the sole discretion of the Company) permit the Company to retain (or authorise the Preferred Funds to retain) all, or any part of, the pro rata portion of any Facility B OID Payment, CAR Facility OID Payment, Original Revolving Facility OID Payment, Interim Facility B OID Payment, Interim CAR Facility OID Payment and Interim Revolving Facility OID Payment and any other arrangement fee, underwriting fee, original issue discount fee, ticking fee, market participation fee, commitment, funding, issuance, rollover, take out, commission or placement fee that relates to the applicable debt instruments purchased by such Preferred Funds.
10.2 In order to purchase a Preferential Allocation in accordance with paragraph 10.1 above, a Preferred Fund must commit to such Preferential Allocation prior to delivery to the Agent of a duly completed Utilisation Request in respect of the first Utilisation of Facility B or, ...
Preferential Allocations. 11.1 Subject to paragraph 11.2 below, but notwithstanding any other provision of this letter or the other Commitment Documents, Finance Documents or Interim Documents, we will (and we will procure that the other Credit Parties, Finance Parties (as defined in the Facilities Agreements) and Interim Finance Parties (as defined in the Interim Facilities Agreement) (as appropriate) will):
(a) permit funds, investment vehicles or other persons advised or managed by the Triton Investors or any Affiliates of the Triton Investors (the “Preferred Funds”) to purchase up to 10% in aggregate (on a net of fees basis) of the aggregate principal amount of Facility B (EUR) and Facility B (GBP) (on a pro rata basis) and up to 10% in aggregate (on a net of fees basis) of the Second Lien Facility on the same terms as offered to the relevant Facility B Syndication Lenders or 2L Syndication Lenders (a “Preferential Allocation”), provided that (i) this shall not require any Preferred Fund to arrange, manage, underwrite, act as bookrunner in respect of or make available any other commitments under or in respect of any other Facilities or any of the Interim Facilities,