GREY:IPRSF - Post by User
Post by
doncristobalon Feb 15, 2017 7:38pm
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Post# 25852176
Waiver and Amendment to Credit Agreement
Waiver and Amendment to Credit AgreementCurrently looking into this company. I am trying to understand this section:
"Pursuant to the Amendment, Tangelo's obligations to repay principal of US$14 million on or before December 31, 2016 has been amended and the Company is now obligated to pay the greater of US$10 million and 90% of the proceeds of any equity or M&A transaction completed by Tangelo on or before March 31, 2017." (Press release Jan. 10, 2017)
Is this saying that if the company (or its assets) are sold for, say, $50m next month, $45m of these proceeds flow directly to the lenders, and $5m remain for the shareholders?