Common Stock Adjustments Clause Samples
The Common Stock Adjustments clause defines how changes to a company's common stock, such as stock splits, dividends, or similar corporate actions, will affect the rights and interests of shareholders. Typically, this clause outlines the procedures for adjusting the number of shares or the conversion price to ensure that shareholders' proportional ownership and economic interests are maintained despite such changes. Its core practical function is to protect shareholders from dilution or unintended consequences resulting from corporate actions that alter the structure or value of the common stock.
Common Stock Adjustments. Anything in this Agreement to the contrary notwithstanding, in the event that the Company shall at any time after the Rights Dividend Declaration Date and prior to the Distribution Date (i) declare a dividend on the outstanding shares of Common Stock payable in shares of Common Stock, (ii) subdivide or split the outstanding shares of Common Stock, or (iii) combine the outstanding shares of Common Stock into a smaller number of shares, the number of Rights associated with each share of Common Stock then outstanding, or issued or delivered thereafter but prior to the Distribution Date, shall be proportionately adjusted so that the number of Rights thereafter associated with each share of Common Stock following any such event shall equal the result obtained by multiplying the number of Rights associated with each share of Common Stock immediately prior to such event by a fraction, the numerator of which shall be the total number of shares of Common Stock outstanding immediately prior to the occurrence of the event and the denominator of which shall be the total number of shares of Common Stock outstanding immediately following the occurrence of such event. The adjustments provided for in this Section 11(p) shall be made successively whenever such a dividend is declared or paid or such subdivision, combination or consolidation is effected.
Common Stock Adjustments. The Purchase Price and the number of Warrant Shares may be adjusted from time to time as set forth in Appendix B.
Common Stock Adjustments. Anything in this Agreement to the contrary notwithstanding, in the event that the Company shall at any time after the Rights Dividend Declaration Date and prior to the Distribution Date (i) declare a dividend on the outstanding shares of Common Stock payable in shares of Common Stock, (ii) subdivide or split the outstanding shares of Common Stock, or (iii) combine the outstanding shares of Common Stock into a smaller number of shares, the number
Common Stock Adjustments. In the case of any change in the Company’s corporate capitalization, such as a stock split or stock dividend, or a corporate transaction such as any merger, consolidation, separation, including a spin-off, or other distribution of stock or property of the Company, or any reorganization or any partial or complete liquidation of the Company, the Company, in order to prevent diminution or enlargement of the benefits or potential benefits intended to be made available under this Agreement, will proportionately adjust the number, class, and price of the Option Shares covered by this Agreement.
Common Stock Adjustments. 23 Section 12. Certificate of Adjusted Purchase Price or Number of Shares....................................................23 Section 13. Consolidation, Merger or Sale or Transfer of Assets or Earning Power..........................................23 (a) Flip-over Event...........................................23 (b) Principal Party...........................................25 (c) Supplemental Agreement....................................25 (d) Exceptions................................................26
Common Stock Adjustments. Each and every reference to share prices and shares of Common Stock in any Transaction Document shall be subject to adjustment for reverse and forward stock splits, stock dividends, stock combinations and other similar transactions of the Common Stock that occur after the date of this Agreement.
Common Stock Adjustments. In the event of a stock split, stock dividend, combination of shares or other change in the Common Stock, a dividend or other distribution payable in Common Stock or other securities, reclassification, reorganization, liquidation or other similar event, the number of Warrants or number of shares of Common Stock into which Additional Advances may be converted, the exercise price of the Warrants issued hereunder and/or the conversion price (as applicable) shall be automatically adjusted so as to maintain the intended value of such Warrants or conversion right as specified in detail in the form of Warrant and/or Convertible Promissory Note attached hereto.