Examples of Target Working Capital in a sentence
The Completion Date Payment will consist of Purchase Consideration as adjusted by Estimated Working Capital Adjustment (i.e, if the Estimated Working Capital Amount is greater than the Target Working Capital then such Estimated Working Capital Adjustment is to be added and vice versa) and shall be further adjusted by the Estimated Capex Adjustment (as computed in Schedule 1 Part B).
Subject to the review and agreement by the parties of the Closing Working Capital calculation, there shall be a post-closing adjustment in an amount equal to the Closing Working Capital minus the Target Working Capital (the “Post-Closing Adjustment”).
Buyer and Baker Sellers acknowledge and agree that the Preliminary Purchase Price is based upon the Target Working Capital, and that such Preliminary Purchase Price may need to be adjusted subsequent to the Closing Date on the basis set forth herein.
It should be noted that the effects from construction traffic would be temporary and local in nature.
For purposes of this Agreement, “Estimated Closing Adjustment Amount” means an amount (positive or negative) equal to the Estimated Net Working Capital, minus the Target Working Capital, plus the Estimated Cash, minus the Estimated Debt, minus the Estimated Transaction Expenses.