Callable Series Sample Clauses
The Callable Series clause grants the issuer the right to redeem or "call" a specific series of securities before their scheduled maturity date. Typically, this clause outlines the conditions under which the issuer can exercise this right, such as after a certain period or at predetermined call prices, and may specify notice requirements to holders. Its core practical function is to provide issuers with flexibility to manage their capital structure, often allowing them to refinance debt if interest rates decline or if it becomes advantageous to retire the securities early.
Callable Series. If one or more specified Persons has the right to purchase all or a portion of the Units of any given Series, the Trust Agreement will designate such Series as a "Callable Series," and specify the terms upon which any such specified Person may exercise its right to purchase all or a portion of the Units. Such terms may relate to, but are not limited to, the following:
(i) a minimum Unit Principal Balance with respect to each Unit being purchased;
(ii) a requirement that the Unit Principal Balance of each Unit being purchased be an integral multiple of a specified amount;
(iii) specified dates during which such a purchase may be effected (each, a "Call Date"); and
(iv) the price at which such a purchase may be effected (the "Call Price"). After receiving notice of the exercise of such a call right, the Trustee will provide notice thereof as specified in the Trust Agreement. Upon the satisfaction of any applicable conditions to the exercise of such right to purchase of the Units described in such Trust Agreement, each Unitholder will be entitled to receive a distribution of a pro rata share of the Call Price paid in connection with such exercise, in the manner and to the extent described in such Trust Agreement.
Callable Series. All Class A Units and Class B Units issued hereby are subject to Call Options and Call Rights granted in favor of Warrantholders. All Class A Units and Class B Units are subject to redemption in the event of a redemption of the Underlying Securities. Any Unitholder who receives notice that its Units are being called or redeemed shall tender the applicable Units to the Trustee in accordance with such notice. Any Units subject to call or redemption shall be automatically canceled, and in the case of a call, shall be automatically re-issued to the applicable Warrantholder without further action by the applicable Unitholder, Warrantholder, Trustee or any other person or entity on the date of redemption or the Call Date, as applicable. Any failure to so tender any Unit shall have no force or effect. Upon exercise of Warrants, the Call Options and Call Rights represented by such Warrants shall be automatically canceled. The certificate representing such Warrants shall be deemed to represent the corresponding Class A Units and Class B Units called by the exercise thereof. The Trustee shall distribute the Trust Property to the Warrantholder as specified in Section 1.2 of Schedule III, and upon such distribution such Class A Units and Class B Units shall be canceled. First Regular Call Date: As defined in Schedule III. Minimum Denomination: Class A Units: $25 and $25 increments in excess thereof. Each $25 of Unit Principal Balance is a Unit. Class B Units: $1,000 Initial Notional Amortizing Balance and $0.01 (one cent) Initial Notional Amortizing Balance in excess thereof. The Minimum Denominations shall not prevent transfers of fractional Units if such fractional Units arise due to exercises of the Warrants, redemption of the Underlying Securities or otherwise by operation of this Trust Agreement. Cut-off Date: Closing Date Closing Date: March 1, ▇▇▇▇ ▇▇▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇▇: ▇▇▇▇▇▇ ▇▇▇▇▇▇ dollars Business Day: New York, New York and Chicago, Illinois Interest Rate and Class B Payments: The right of the Class A Units to accrued interest is pari passu with the right of the Class B Units to accrued Class B Payments from accrued interest on the Underlying Securities. Class A Units: The interest rate on the Class A Units is 7.00% per annum on the basis of a 360 day year consisting of twelve 30 day months. Class B Payments: $44.66 ($164,813 / 3,690 Class B Units) is expected to be paid on each Class B Unit on each distribution date thereafter, in each case from interest rec...