Prepayment Promissory Note definition
Prepayment Promissory Note means a nine-year promissory note issued by Apollonia to St. Renatus dated December 31, 2013, whereby Apollonia may borrow up to a maximum amount of $5.0 million from St. Renatus, at a minimum advance rate as may be requested by Apollonia subject to the consent of St. Renatus which may be withheld in St. Renatus’ sole discretion, which note will accrue interest annually at the minimum applicable federal rate applicable to such mid-term notes while it is outstanding and which loan will be repaid by Apollonia initially on an interest-only basis with interest first payable annually when up-front payments are made to Apollonia pursuant to Section 3(a), and any prior accruals of interest amortized thereafter over the remaining term of the note, with principal and accrued interest due either (x) on maturity or (y) if Apollonia has received at least $50 million in payments under Section 3, the remaining principal and interest shall be amortized on an annual basis over a four (4) year period thereafter or through the original maturity date, whichever period is shorter. Apollonia may prepay the Note and all accrued interest at any time.
Examples of Prepayment Promissory Note in a sentence
As additional consideration for the assignment hereunder, St. Renatus shall consolidate all outstanding loans owing from Apollonia to St. Renatus and provide additional funding to Apollonia through the Prepayment Promissory Note.