Redemption or Repurchase of Notes Clause Samples
The 'Redemption or Repurchase of Notes' clause defines the conditions under which the issuer can buy back or redeem outstanding notes before their scheduled maturity. Typically, this clause outlines the timing, procedures, and pricing for such redemptions, which may occur at the issuer's option, upon the occurrence of specific events, or at the noteholders' request. Its core function is to provide flexibility for the issuer to manage its debt obligations proactively, while also informing noteholders of their rights and the circumstances under which their notes may be repurchased or redeemed.
Redemption or Repurchase of Notes. (a) Subject to the other clauses of this Section 3.01, to the extent not previously redeemed or repurchased, outstanding Notes shall be due and payable on the Maturity Date.
(b) Redemptions or repurchases of the Notes from:
(i) all Net Proceeds pursuant to Section 3.02(b) shall be allocated to the Notes pursuant to Section 3.01(c), and
(ii) any optional redemption of the Initial Notes or the Additional Notes pursuant to Section 3.02(a) shall be redeemed in accordance with Section 3.01(f).
(c) Any mandatory redemption or repurchase of Notes pursuant to Section 3.02(b) shall be made on a pro rata basis based on the aggregate principal amount of all Notes outstanding on the date of such repurchase (i.e. ratably across all tranches and in accordance with the applicable redemption or repurchase price of each tranche).
(d) Prior to any optional redemption of the Notes pursuant to Section 3.02(a), a notice of redemption must be delivered electronically or mailed (by first-class mail) by the Issuer or, at the Issuer’s request in an Officer’s Certificate delivered at least five (5) Business Days prior to the requested date of delivery (or such shorter period as may be satisfactory to the Trustee), by the Trustee in the name and at the expense of the Issuer, at least ten days but not more than 60 days before the redemption date to each Noteholder of the Notes to be redeemed at such Noteholder’s last address as the same appears on the registry books maintained by the Registrar pursuant to Section 2.04 and such notice of redemption shall (A) specify the redemption date, (B) specify whether the Notes to be redeemed are Initial Notes or Additional Notes of a particular tranche, (C) specify the outstanding principal amount of such Notes to be redeemed on such date, (D) specify the accrued interest and redemption price applicable to the redemption and (E) state the applicable provision of this Indenture pursuant to which such redemption is to be made; provided, that a notice of redemption may state that such notice is conditioned upon the effectiveness of other credit facilities, indentures or similar agreements or other transactions, in which case such notice may be revoked by the Issuer if such condition is not satisfied.
(e) All redemptions of Notes shall be accompanied by accrued interest on the principal amount redeemed and the Issuer shall deliver to the Trustee an Officer’s Certificate that such redemption shall comply with the conditions contained in this Indentur...
Redemption or Repurchase of Notes. SECTION 12.01.
Redemption or Repurchase of Notes