Initial Shares Closing Clause Samples
The Initial Shares Closing clause defines the terms and procedures for the first transfer or issuance of shares in a transaction. It typically outlines the timing, conditions precedent, and deliverables required for the initial closing, such as payment of the purchase price and delivery of share certificates. This clause ensures that both parties understand the specific steps and requirements for the initial exchange of shares, thereby providing structure and reducing the risk of misunderstandings or disputes at the outset of the deal.
Initial Shares Closing. The Initial Shares Closing has occurred prior to, or will close simultaneously with, the Closing.
Initial Shares Closing. On the Subscription Date, (i) the Company shall deliver to the Investor one or more certificates, at the Investor's option, representing the Initial Shares to be purchased by the Investor pursuant to Section 2.1 herein, registered in the name of the Investor or, at the Investor's option, deposit such certificate(s) into such account or accounts previously designated by the Investor, and (ii) the Investor shall deliver to escrow the Initial Investment Amount by wire transfer of immediately available funds to an account designated by the Company on or before the Closing Date. In addition, on or prior to the Closing Date, each of the Company and the Investor shall deliver all documents, instruments and writings required to be delivered or reasonably requested by either of them pursuant to this Agreement in order to implement and effect the transactions contemplated herein. Payment of funds to the Company and delivery of the certificates to the Investor shall occur following (x) the Company's deposit into escrow of the certificates representing the Initial Shares and (y) the Investor's deposit into escrow of the Initial Investment Amount. In the event the Company fails to deliver certificates representing the Initial Shares to escrow by the closing of the purchase of the Initial Shares, the Company shall pay to the Investor an amount equal to five percent (5%) of the aggregate purchase price of the Initial Shares represented by such certificates.