Exercise or Conversion Sample Clauses
The Exercise or Conversion clause defines the process by which a party can convert one type of security or instrument into another, typically under specified conditions. In practice, this clause outlines the steps, timing, and requirements for exercising conversion rights, such as converting convertible notes into equity shares upon a financing event or at maturity. Its core function is to provide a clear mechanism for changing the form of an investment or obligation, ensuring predictability and fairness for both parties involved.
Exercise or Conversion. Any or all of the Warrants represented by each Warrant Certificate which have vested pursuant to Section 2.1 may be exercised or converted, upon the terms and subject to the conditions set forth herein and in such Warrant Certificate, at any time on or after the date of such Warrant and before the Expiration Date. Each Warrant not exercised or converted on or before the Expiration Date shall thereupon become void and all rights of the Holder thereunder and under this Agreement shall cease. In the event that less than all of the Warrants evidenced by a Warrant Certificate surrendered upon the exercise of Warrants are exercised at any time prior to the Expiration Date, a new Warrant Certificate or Certificates will be issued for the remaining number of Warrants evidenced by the Warrant Certificate so surrendered.
Exercise or Conversion. (a) This Warrant may be exercised in whole or in part for cash, wire transfer or by certified or official bank check payable to the order of the Company equal to the applicable aggregate Purchase Price for the number of shares of Common Stock and/or Other Securities being purchased upon exercise of this Warrant.
(i) In lieu of the exercise of this Warrant as provided in Section 2(a), the Holder shall have the option to convert this Warrant in whole or in part into Common Stock at any time during the term of this Warrant (the "Conversion Right") having value equal to the value (as determined below) of this Warrant, or any part hereof, in which event the Company shall issue to the Holder a number of shares of Common Stock computed using the following formula: X = Y(A-B) ----- A Where: X = the number of shares of Common Stock to be issued to the Holder; Y = the number of shares of Common Stock issuable upon exercise of this Warrant or, if only a portion of this Warrant is being exercised, the portion of this Warrant being canceled (at the date of such calculation); A = the Fair Market Value of one share of Common Stock (at the date of such calculation); B = the Purchase Price (as adjusted to the date of such calculation).
(ii) No fractional shares shall be issuable upon exercise of the Conversion Right, and, if the number of shares to be issued determined in accordance with the foregoing formula is other than a whole number, the Company shall pay to the holder an amount in cash equal to the Fair Market Value of the resulting fractional share on the Conversion Date.
(iii) The Conversion Right provided under this Section 2(b) may be exercised in whole or in part and at any time and from time to time while any Warrant remains outstanding. In order to exercise the Conversion Right, the Holder shall surrender to the Company, at its offices, this Warrant accompanied by a duly completed Form of Subscription in the form attached hereto as Exhibit A. The Warrant (or so much thereof as shall have been surrendered for conversion) shall be deemed to have been converted immediately prior to the close of business on the day (such day, the "Conversion Date") of surrender of the Warrant for conversion in accordance with the foregoing provisions. As promptly as practicable on or after the Conversion Date, the Company shall issue and shall deliver to the Holder (A) a certificate or certificates representing the number of shares of Common Stock to which the Holder shall be enti...
Exercise or Conversion. Notwithstanding anything else contained herein, the Company shall have no obligation to register Registrable Securities that are not Shares unless and until they have been exercised, converted or exchanged into Shares.
Exercise or Conversion