Dragalong Sample Clauses

A Dragalong clause allows majority shareholders to compel minority shareholders to join in the sale of a company on the same terms and conditions as the majority. In practice, if a majority owner finds a buyer for their shares, they can require minority owners to sell their shares as well, ensuring the buyer can acquire 100% ownership without resistance. This clause is primarily used to facilitate smoother company sales by preventing minority shareholders from blocking or complicating a full transfer of ownership.
Dragalong. If Stockholders holding at least a majority of Common Stock Equivalents at the time held by the Stockholders (the "Dragalong Group") determine to sell or exchange (in a sale or exchange of securities of the Company or in a merger, consolidation or other business combination or any similar transaction) in one or a series of bona fide arms-length transactions to an unrelated and unaffiliated Third party fifty percent (50%) or more of the Subject Securities at the time held by them (the actual percentage of the total number of Subject Securities held by the Dragalong Group represented by the Subject Securities determined to be so sold or exchanged being referred to as the "Dragalong Percentage"), then, upon 30 days' written notice from the Dragalong Group to the other Stockholders, which notice shall include reasonable details of the proposed sale or exchange including the proposed time and place of closing and the consideration to be received by the Dragalong Group (such notice being referred to as the "Sale Request"), each other Stockholder shall be obligated to, and shall, (i) sell, transfer and deliver, or cause to be sold, transferred and delivered, to such Third Party the Dragalong Percentage of the Subject Securities at the time held by such Stockholder, in the same transaction at the closing thereof and shall (A) execute and deliver such agreements for the purchase of such Subject Securities and other agreements, instruments and certificates as the members of the Dragalong Group shall execute and deliver in connection with such proposed transaction and (B) deliver certificates and/or other instruments representing all of such Stockholder's Subject Securities, together with stock or other appropriate powers therefor duly executed, at the closing, free and clear of all claims, liens and encumbrances), and each Stockholder shall receive upon the closing of such transaction the same per share consideration to be paid or delivered by the proposed transferee in respect of such Stockholder's Subject Securities as shall be payable to the members of the Dragalong Group in respect of their Subject Securities, and (ii) if stockholder approval of the transaction is required, vote such Stockholder's Common Stock in favor thereof.
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Related to Dragalong

  • Drag Along (a) Notwithstanding any other provision of this Agreement, with respect to any Approved Sale, each VB Shareholder hereby agrees to (i) vote for and/or consent to and raise no objection to such Approved Sale (and hereby waives, to the extent permitted by law, all rights to object to or dissent from such Approved Sale), (ii) otherwise cooperate fully in such Approved Sale and not take any action prejudicial to or inconsistent with such Approved Sale. The obligations of the VB Shareholders with respect to any Approved Sale are subject to the satisfaction of the conditions that (A) upon the consummation of such Approved Sale, all of the sellers of Common Stock and of each series of Preferred Stock, respectively, will receive (I) the amount of consideration to which such sellers are entitled pursuant to a Liquidation under the Charter and (II) the same form and amount of consideration per share of Common Stock or Preferred Stock of such series, as applicable, or if any such sellers are given an option as to the form and amount of consideration to be received per share of Common Stock or Preferred Stock of such series, all holders of Common Stock and Preferred Stock of such series, as applicable, will be given the same option, (B) the representations and warranties to be made by any VB Shareholder shall be limited to enforceability of its obligations and title to its Shares, (C) any indemnification obligations of a VB Shareholder shall be several, not joint, and shall (other than with respect to representations and warranties with respect to enforceability of such Shareholder’s obligations and title to Shares) be pro rata based on the value of the proceeds received by the sellers in connection with such Approved Sale, and (D) the aggregate liability of a VB Shareholder with respect to indemnification obligations in connection with such Approved Sale shall be limited to the proceeds paid to such VB Shareholder in connection with such Approved Sale. (b) Each VB Shareholder hereby appoints the Company as such VB Shareholder’s true and lawful proxy and attorney in connection with any Approved Sale satisfying the conditions set forth in this Section 3.4 herein, with full power of substitution, to vote all Shares owned by such VB Shareholder or over which such VB Shareholder has voting control to effectuate the agreements set forth in this Section 3.4 in the event of any breach by such VB Shareholder of its obligations under this Section 3.4. The proxies and powers granted by each VB Shareholder pursuant to this Section 3.4 are coupled with an interest and are given to secure the performance of such VB Shareholder’s duties under this Section 3.4. Such proxies are irrevocable for so long as this Section 3.4 remains in effect and will survive the death, incompetence or disability of any VB Shareholder who is an individual and the merger, liquidation or dissolution of any Shareholder that is a corporation, limited liability company, partnership or other entity.

  • Warrant Holder Not Shareholder This Warrant does not confer upon the holder hereof any right to vote or to consent or to receive notice as a shareholder of the Company, as such, in respect of any matters whatsoever, or any other rights or liabilities as a shareholder, prior to the exercise hereof as hereinbefore provided.

  • Stockholder Services (i) Manage services for and communications with Stockholders, including answering phone calls, preparing and sending written and electronic reports and other communications; (ii) Oversee the performance of the transfer agent and registrar; (iii) Establish technology infrastructure to assist in providing Stockholder support and service; and (iv) Consistent with Section 3.01, the Advisor shall perform the various subscription processing services reasonably necessary for the admission of new Stockholders.

  • Freedom to Trade in Company Securities The Rights Agent and any stockholder, director, officer or employee of the Rights Agent may buy, sell or deal in any of the Rights or other securities of the Company or become pecuniarily interested in any transaction in which the Company may be interested, or contract with or lend money to the Company or otherwise act as fully and freely as though it were not Rights Agent under this Agreement. Nothing herein shall preclude the Rights Agent from acting in any other capacity for the Company or for any other legal entity.

  • Shareholder Services Transfer Agent or its agent will investigate all inquiries from Shareholders of a Fund relating to Shareholder accounts and will respond to all communications from Shareholders and others relating to its duties hereunder and such other correspondence as may from time to time be mutually agreed upon between Transfer Agent and a Fund. Transfer Agent shall provide each Fund with reports concerning Shareholder inquires and the responses thereto by Transfer Agent, in such form and at such times as are agreed to by the Fund and Transfer Agent.