Common use of Limitation on Lines of Business; Creation of Subsidiaries Clause in Contracts

Limitation on Lines of Business; Creation of Subsidiaries. (a) Enter into any business, either directly or through any Subsidiary or joint venture or similar arrangement described in subsection 7.9(g), except for those businesses of the same general type as those in which the Borrower and its Subsidiaries are engaged on the Closing Date, or which are related thereto. (b) Create any new Subsidiaries of the Borrower other than any other new Subsidiary that (in the case of a new Domestic Subsidiary) shall execute and deliver to the Administrative Agent, as applicable, the Guarantee and Collateral Agreement, the Intercreditor Agreement and appropriate Mortgages and other security documents and take any necessary steps to perfect the security interest to be created thereby and for which the relevant parent entity (if such parent entity is the Borrower or a Guarantor) shall execute and deliver to the Administrative Agent a stock pledge agreement and take any necessary steps to perfect the security interest to be created thereby; provided, that in the case of a Foreign Subsidiary, only 65% of the voting stock of such Subsidiary will be required to be pledged by the relevant parent under such stock pledge agreement.

Limitation on Lines of Business; Creation of Subsidiaries. (a) Enter into any business, either directly or through any Subsidiary or joint venture or similar arrangement described in subsection 7.9(gSection 6.9(g), except for those businesses of the same general type as those in which the Borrower Loan Parties and its their Subsidiaries are engaged on the Closing Date, or which are related thereto. (b) Create any new Subsidiaries of the Administrative Borrower other than any other new Subsidiary that (i) in the case of a new Domestic Subsidiary) , shall execute and deliver to the Administrative Agent, as applicable, the Guarantee and Collateral Agreement, the Intercreditor Agreement and appropriate Mortgages and other security documents and take any necessary steps to perfect the security interest to be created thereby and for which the relevant parent entity corporation (if such parent entity corporation is the Administrative Borrower or a Guarantor) shall execute and deliver to the Administrative Agent a stock pledge agreement and take any necessary steps to perfect the security security’ interest to be created thereby; provided, that that, in the case of a Foreign Subsidiary, only 65% of the voting stock of such Subsidiary will be required to be pledged by the relevant parent under such stock pledge agreementagreement and (ii) in the case of a Foreign Subsidiary, if applicable, shall execute and deliver to Agent, the Intercompany Subordination Agreement.