Common use of Additional Subscription Privilege Clause in Contracts

Additional Subscription Privilege. Pursuant to Securities Laws, each holder of Rights will be entitled, on a pro rata basis (based on the number of Rights which it exercised under the Basic Subscription Privilege as a proportion of all Rights exercised under the Basic Subscription Privilege), to subscribe for additional Rights Shares at the Subscription Price, to the extent that other holders of Rights do not exercise all of their Rights under the Basic Subscription Privilege (the "Additional Subscription Privilege"). For the purpose of calculating its pro rata entitlement, the term "holder" shall refer to a beneficial holder of Rights, and not to a discretionary account manager exercising direction or control over Rights on behalf of more than one beneficial holder.