Accelerated Repayment in the Event of a Subsequent Financing by a Third Party. If, at any time after Closing, the Company receives financing from a third party (excluding the Holder), the Company is required to pay to the Holder 100% of the proceeds raised from the third party in excess of an aggregate amount of $500,000 (the “Threshold Amount”). The Threshold Amount shall also pertain to any assets sold, transferred or disposed of by the Company. The Company agrees to pay one hundred percent (100%) of any proceeds raised by the Company over the Threshold Amount toward the accelerated repayment of the Debenture with Interest until such time as the Face Amount of the Debenture has been paid in full. The accelerated Repayment shall be made to the Holder upon the Company’s receipt of the financing. Failure to do so will result in an Event of Default as set forth herein.
Appears in 4 contracts
Samples: Debenture Agreement (Challenger Powerboats, Inc.), Debenture Agreement (Challenger Powerboats, Inc.), Debenture Agreement (Challenger Powerboats, Inc.)
