Common use of Initial Price Clause in Contracts

Initial Price. $107.00, which equals the per share public offering price of the Common Stock in the Common Stock Offering. Threshold Appreciation Price: $131.075, which represents an appreciation of 22.5% over the initial price. Mandatory Conversion Date: The second business day immediately following the last trading day of the 20 consecutive trading day period beginning on, and including, the 21st scheduled trading day immediately preceding January 15, 2021. The mandatory conversion date is expected to be January 15, 2021. Conversion Rate: Upon conversion on the mandatory conversion date, the conversion rate for each share of the Mandatory Convertible Preferred Stock will be not more than 0.9345 shares of Common Stock (the “maximum conversion rate”) and not less than 0.7629 shares of Common Stock (the “minimum conversion rate”), depending on the applicable market value of the Common Stock, as described in, and subject to certain anti-dilution adjustments that are described in, the Mandatory Convertible Preferred Stock Preliminary Prospectus Supplement. The following table illustrates the conversion rate per share of the Mandatory Convertible Preferred Stock, subject to certain anti-dilution adjustments that are described in the Mandatory Convertible Preferred Stock Preliminary Prospectus Supplement. Greater than $131.075 (which is the threshold appreciation price) 0.7629 shares (approximately equal to $100.00 divided by the threshold appreciation price) Equal to or less than $131.075 but greater than or equal to $107.00 Between 0.7629 and 0.9345 shares, determined by dividing $100.00 by the applicable market value of the Common Stock Less than $107.00 (which is the initial price) 0.9345 shares (approximately equal to $100.00 divided by the initial price)

Appears in 2 contracts

Sources: Underwriting Agreement (Sempra Energy), Underwriting Agreement (Sempra Energy)

Initial Price. $107.00, which equals the per share public offering price of the Common Stock in the Common Stock Offering. Threshold Appreciation Price: $131.075, which represents an appreciation of 22.5% over the initial price. Mandatory Conversion Date: The second business day immediately following the last trading day of the 20 consecutive trading day period beginning on, and including, the 21st scheduled trading day immediately preceding January 15, 2021. The mandatory conversion date is expected to be January 15, 2021. Conversion Rate: Upon conversion on the mandatory conversion date, the conversion rate for each share of the Mandatory Convertible Preferred Stock will be not more than 0.9345 shares of Common Stock (the “maximum conversion rate”) and not less than 0.7629 shares of Common Stock (the “minimum conversion rate”), depending on the applicable market value of the Common Stock, as described in, and subject to certain anti-dilution adjustments that are described in, the Mandatory Convertible Preferred Stock Preliminary Prospectus Supplement. The following table illustrates the conversion rate per share of the Mandatory Convertible Preferred Stock, subject to certain anti-dilution adjustments that are described in the Mandatory Convertible Preferred Stock Preliminary Prospectus Supplement. Schedule III-4 Applicable Market Value of the Common Stock Conversion rate (number of shares of Common Stock to be received upon conversion of each share of the Mandatory Convertible Preferred Stock) Greater than $131.075 (which is the threshold appreciation price) 0.7629 shares (approximately equal to $100.00 divided by the threshold appreciation price) Equal to or less than $131.075 but greater than or equal to $107.00 Between 0.7629 and 0.9345 shares, determined by dividing $100.00 by the applicable market value of the Common Stock Less than $107.00 (which is the initial price) 0.9345 shares (approximately equal to $100.00 divided by the initial price)

Appears in 1 contract

Sources: Underwriting Agreement