Equity True-Up Amount definition
Equity True-Up Amount means the amount (if any) by which Equity Funded Total Cost would be required to be reduced (and Debt Funded Total Cost correspondingly increased by an amount equal to the amount of such reduction) to ensure that the Debt/Equity Cost Ratio on the Settlement Date would have been 1.5:1.
Examples of Equity True-Up Amount in a sentence
Payment of the Shareholders’ Equity True-Up Amount shall be paid to the appropriate Party by wire transfer of immediately available funds within 15 calendar days after the determination of the Final Closing Date Balance Sheet.
The Parties acknowledge that a portion of the shares of Buyer Parent Common Stock comprising the Closing Equity Consideration and the Deferred Equity True-Up Amount will be delivered to the Employee Benefit Trust to hold on behalf of its beneficiaries (the “EBT Equity Consideration”).