Nasdaq 20% Rule: Share Caps | Practical Law

Nasdaq 20% Rule: Share Caps | Practical Law

Standard Clauses that can be used as sample contractual language when structuring a securities transaction using share caps to avoid or defer stockholder approval required by Nasdaq's 20% rule. These Standard Clauses can be used as a starting point in drafting provisions in indentures, convertible securities, warrants, preferred stock certificates of designation, and securities purchase agreements. These Standard Clauses have integrated notes with important explanations and drafting tips.

Nasdaq 20% Rule: Share Caps

Practical Law Standard Clauses w-020-4189 (Approx. 7 pages)

Nasdaq 20% Rule: Share Caps

by Practical Law Corporate & Securities
MaintainedUSA (National/Federal)
Standard Clauses that can be used as sample contractual language when structuring a securities transaction using share caps to avoid or defer stockholder approval required by Nasdaq's 20% rule. These Standard Clauses can be used as a starting point in drafting provisions in indentures, convertible securities, warrants, preferred stock certificates of designation, and securities purchase agreements. These Standard Clauses have integrated notes with important explanations and drafting tips.