Further Drawdown definition
Examples of Further Drawdown in a sentence
It is intended that Borrower B will make the Further Drawdown in the aggregate principal amount of up to HK$3,000,000 under Loan Agreement C at a later stage.
On the Closing Date the Issuer will also deposit part of the proceeds of the Notes in an account maintained with the GIC Provider (the Further Drawdown Account) for an amount corresponding to the aggregate Undrawn Amounts in relation to the Non-Fully Drawn Loans.
Thereafter, in the event of a purchase of New SME Receivables in respect of a Non-Fully Drawn Loan, the Issuer shall apply part of the Replenishment Available Amount corresponding to the Undrawn Amount of such SME Loan in order to fund the Further Drawdown Account.
Thus the Future Drawdowns will be regarded as a future receivable, the assignment and/or pledge of such part will not be effective if the amounts of the Further Drawdown is not paid out or if it is paid out on or after the date on which the Seller is declared bankrupt or has become subject to emergency regulations.
The Further Drawdown Account will be debited on each Monthly Sweep Date (until fully depleted) (i) for payments for the benefit of the Seller upon Undrawn Amounts being paid out to or on behalf of the Borrowers; and (ii) for an amount equal to the Undrawn Amounts in respect of which the Seller has no further obligation to make payments to the relevant Borrowers, which will then be credited to the Transaction Account.
For the mitigation of this risk, see Credit Structure –– Further Drawdown Account below).