Increase to Aggregate Commitments Sample Clauses
The "Increase to Aggregate Commitments" clause allows the total amount of credit or commitments available under a loan agreement to be increased beyond the original limit. In practice, this clause typically permits the borrower to request additional commitments from existing or new lenders, subject to certain conditions such as lender consent and compliance with specified procedures. Its core function is to provide flexibility for the borrower to access more funds as needed, addressing the potential need for additional capital without requiring a full renegotiation of the loan agreement.
Increase to Aggregate Commitments. (A) Borrower shall have the right during the Availability Period to send a written notice to Administrative Agent requesting that the Aggregate Commitments be increased by adding to this Agreement one or more other committed lenders or Lender Groups with a committed lender (which may include any existing Committed Lender with the consent of such Committed Lender) (each such lender an “Additional Lender”); provided, that each such Additional Lender (and the other members of its Lender Group, if applicable) shall have entered into a Joinder Agreement or other similar agreement in form and substance satisfactory to the Administrative Agent and Borrower pursuant to which such Additional Lender shall (1) undertake a Commitment (and if any such Additional Lender is an existing Committed Lender, its Commitment increase shall be added to its existing Commitment hereunder), (2) identify the other members of its Lender Group, and (3) provide the other information specified in the form of Joinder Agreement or such other similar agreement and as is requested by Administrative Agent or the Paying Agent. Subject to satisfaction of the conditions in Section 2.16(C), such Additional Lender shall thereupon become a “Committed Lender” and the members of its Lender Group (if applicable) shall become party hereto for all purposes of this Agreement upon the effectiveness of such Joinder Agreement or such other similar agreement (the date of the effectiveness of any such agreement being hereinafter referred to as the “Increased Commitment Date”).
(B) On the Increased Commitment Date, each Additional Lender (or its Lender Group if applicable) shall by assignments from the other Lender Groups (which assignments shall be deemed to occur hereunder automatically, and without any requirement for additional documentation, on the Increased Commitment Date) acquire a portion of the Advances of the other Committed Lenders or Lender Groups (and the Lender Groups shall, through the Administrative Agent, make such other adjustments among themselves as shall be necessary) so that after giving effect to such assignments and adjustments each Committed Lender (or its Lender Group, as applicable) shall hold outstanding Advances hereunder ratably in accordance with their respective Commitments.
(C) Notwithstanding the foregoing, any increase in the Aggregate Commitments pursuant to this Section 2.16 shall be effective only if:
(i) the Availability Period shall not have expired;
(ii) no Potential ...
Increase to Aggregate Commitments. Section 2.18 of the Original Agreement is hereby deleted in its entirety.
Increase to Aggregate Commitments