Additional Revolving Credit Commitments Clause Samples
The "Additional Revolving Credit Commitments" clause allows the borrower to request an increase in the total amount of revolving credit available under a loan agreement. This typically involves the borrower seeking commitments from existing or new lenders to provide additional funds, subject to certain conditions such as lender consent and compliance with financial covenants. The core function of this clause is to provide flexibility for the borrower to access more capital as needed, without having to renegotiate the entire credit agreement, thereby facilitating business growth or addressing unforeseen financing needs.
Additional Revolving Credit Commitments. Subject to the terms and conditions set forth herein, the Borrower may at any time, but not more often than two (2) times during the term of this Agreement, request an increase in the Revolving Credit Commitment (the “Additional Revolving Credit Commitment”) provided that (a) immediately prior to and after giving effect to such Additional Revolving Credit Commitment (and the making of any loans pursuant thereto), no Event of Default or Potential Default has occurred or is continuing or shall result therefrom and, (b) the Additional Revolving Credit Commitment shall rank pari passu in right of payment and right of security in respect of the Collateral with the existing Revolving Credit Loans, (c) the Additional Revolving Credit Commitments shall not exceed in the aggregate Fifty Million and 00/100 Dollars ($50,000,000.00), and (d) the loans to be made pursuant to such Additional Revolving Credit Commitment shall have the same terms as the Revolving Credit Loans. Any additional bank, financial institution, existing Lender or other Person that elects to extend commitments to provide the Additional Revolving Credit Commitment shall be reasonably satisfactory to the Borrower and the Administrative Agent (any such bank, financial institution, existing Lender or other person is an “Additional Lender”) and shall become a Lender under this Agreement pursuant to an amendment (the “Incremental Facility Amendment”) to this Agreement, and, as appropriate, the other Loan Documents, executed by the Loan Parties, each Additional Lender, if any, and the Administrative Agent. Commitments in respect of the Additional Revolving Credit Commitment shall become Commitments under this Agreement after giving effect to such Additional Revolving Credit Commitment. The Incremental Facility Amendment may, without the consent of any other Lenders, effect such amendments to this Agreement and the other Loan Documents as may be reasonably necessary or appropriate to effectuate the applicable additional Revolving Credit Commitments in the opinion of the Administrative Agent. The effectiveness of any Incremental Facility Amendment shall be subject to the satisfaction on the date thereof (the “Incremental Facility Closing Date”) of each of the applicable conditions set forth in Article 7 [Conditions of Lending and Issuance of Letters of Credit] (it being understood that all references to the Closing Date in such Article 7 [Conditions of Lending and Issuance of Letters of Credit] shall be de...
Additional Revolving Credit Commitments. Each Commitment Increase Lender hereby acknowledges that it has provided a U.S. Revolving Credit Commitment in the amount set forth opposite such Commitment Increase Lender’s name on Schedule 2.01 to this Agreement under the caption “U.S. Revolving Credit Commitment”. Each of the Loan Parties and each Commitment Increase Lender hereby agrees that from and after the Effective Date, each such Commitment Increase Lender shall be a “U.S. Revolving Credit Lender” for all purposes under the Credit Agreement and the other Loan Documents.
Additional Revolving Credit Commitments. The Amendment No. 5 Refinancing Revolving Credit Commitments shall be one Class with the Amendment No. 5 Additional Revolving Credit Commitments. Any Letters of Credit outstanding immediately prior to the Amendment No. 5 Effective Date shall automatically be deemed to be issued under the Revolving Credit Commitments provided on the Amendment No. 5
Additional Revolving Credit Commitments. Subject to the terms and conditions set forth herein and in reliance upon the representations and warranties set forth herein, (a) each of the Agent, Swingline Bank and the Issuing Banks party to this Amendment hereby consent to the Incremental Revolving Credit Facility Increase and the New Bank becoming a Revolving Credit Bank and a Bank under the Credit Agreement and (b) the New Bank severally agrees to become a Revolving Credit Bank and a Bank under the terms of the Credit Agreement and provide a Revolving Credit Commitment to the Borrowers in the principal amount set forth opposite the New Bank’s name on Schedule 1.1(a) attached hereto as Annex A.
Additional Revolving Credit Commitments