Common use of Resolution Plan Clause in Contracts

Resolution Plan. 4.1 The resolution plan in respect of the Facilities availed by a Borrower may involve, amongst other, one or more of the following terms: (a) transfer of all or part of the assets of the Borrower to one or more persons; (b) transfer/assignment/novation of all or part of the Facilities (together with underlying securities, guarantees etc.) to one or more persons at the value approved by the Majority Lenders; (c) bifurcation of debt into sustainable and unsustainable portions, writing off of any debt and additional financing to the Borrower; (d) release of any security created on the assets of the Borrower or any other person; (e) sale of all or part of the assets whether subject to any security interest or not; (f) the acquisition of shares of the Borrower, or the merger or consolidation of the Borrower with one or more persons; (g) satisfaction or modification of any security interest; (h) curing or waiving of any breach of the terms of any Facilities due from a Borrower; (i) extension of a maturity date or a change in interest rate or other terms of the Facilities; (j) amendment of the constitutional documents of the Borrower; (k) issuance of securities of the Borrower, for cash, property, securities, or in exchange for claims or interests, or other appropriate purpose; (l) obtaining necessary approvals from the Central and State Governments and other authorities; (m) transfer or assignment of appointment of any third party contractor/agency to operate the project being undertaken by the Borrower or to manage the operations of the Borrower; (n) appointment of any third party contractor/agency to operate the project being undertaken by the Borrower or to manage the operations of the Borrower; and (o) any other scheme of arrangement in accordance with the Applicable Law including the Companies Act, 2013. (the debt restructuring/resolution scheme undertaken in accordance with the aforesaid broad contours is hereinafter referred to as the “Resolution Plan”). 4.2 Amongst other factors as applicable to each case, the Lead Lender shall take into account the following considerations for preparing a Resolution Plan: (a) the Resolution Plan shall be in compliance with the Regulatory Framework and all other Applicable Laws, as applicable and amended from time to time; (b) any exclusive Third Party Security held by a Relevant Lender; and (c) the existing security sharing arrangement amongst the Relevant Lenders.