Source: http://contracts.onecle.com/infineon/loan-2002-02-01.shtml
Timestamp: 2018-04-26 02:07:16
Document Index: 244600208

Matched Legal Cases: ['§ 13', '§ 13', '§ 7', '§ 7', '§ 3', '§ 8', '§ 7', '§ 194', '§ 4', '§ 13', '§ 3']

The Issuer, Infineon Technologies AG and a syndicate of banks and financial institutions (the "Underwriters") under the lead management of Goldman Sachs International have entered into an underwriting agreement (as amended, supplemented or restated from time to time, the "Underwriting Agreement") of even date herewith pursuant to which the Issuer has undertaken to issue and sell to the Underwriters subordinated convertible notes (the "Notes") in the aggregate principal amount of €1,000,000,000. The Underwriting Agreement provides that the issue and subscription of the Notes shall be effected on February 6, 2002, or such other date as the Issuer, Infineon Technologies AG and Goldman Sachs International acting on behalf of the Underwriters may agree (the "Closing Date").
The Issuer has undertaken in the Underwriting Agreement to pass on to Infineon Technologies AG any proceeds from the issue of the Notes pursuant to (A) (the "Proceeds") without any deduction by way of loan (the "Loan").
The Terms and Conditions of the Notes (the "Conditions") provide that the claims of the Noteholders for payment of principal of all Notes are to be secured by the claims of the Issuer against Infineon Technologies AG under the Loan for payment of principal of such Loan in an amount equal to the aggregate Appertaining Claims (§ 13(2)(a) of the Conditions).
€1,000,000,000 (euro one billion) (the "Loan Amount")
Disbursements of the Loan Amount shall be effected by the Underwriters' paying the relevant Proceeds without deduction to an account of the Issuer specified by the Issuer and by the Issuer's immediate onpayment of such Proceeds to an account of Infineon Technologies AG specified by Infineon Technologies AG.
The claims of the Issuer for payment of principal or interest or any other amounts arising under the Loan shall be subordinated to the claims of all other creditors of Infineon Technologies AG which are senior and not subordinated. Such subordination shall mean that in any event of liquidation, bankruptcy or other proceedings to avoid bankruptcy any payment which might become due under the Loan shall be made only after all claims against Infineon Technologies AG which are senior and not subordinated have been satisfied. Any right to set-off claims arising from the Loan against claims of Infineon Technologies AG shall be excluded. The subordination specified in the foregoing sentence with respect to the Appertaining Claim (§ 13(2)(a) of the Conditions) attributable to a Note for which the Conversion Right (§ 7(1) of the Conditions) has been validly exercised shall be subject to the condition subsequent (auflösende Bedingung) of
the exercise of the Conversion Right (§ 7(1) of the Conditions) and terminate with effect as of the Issue Date (§ 3(1) of the Conditions) on the day immediately prior to the Conversion Date (§ 8(4) of the Conditions) at 24 hours. The exercise of the Conversion Right (§ 7 of the Conditions) in reliance on § 194 (1) sentence 2 of the German Stock Corporation Act (Aktiengesetz) shall not be affected by the subordination.
As of the Closing Date, the Issuer shall assign the claims under § 4(2) of this Agreement for payment of principal of the Loan in an amount equal to the aggregate Appertaining Claims (§ 13(2)(a) of the Conditions) to JPMorgan Chase Bank acting on account of the Noteholders as security for the claims for payment of principal of the Notes in accordance with the assignment attached hereto as Exhibit 2. A partial amount of the Loan equal to the Appertaining Claim shall be attributable to each Note.
If and when the claims payable under this Loan Agreement are transferred by Noteholders by way of assignment to Infineon Technologies AG in connection with the exercise of the Conversion Right, all rights and claims under this Loan Agreement shall expire to the extent of such transfer.
The Issuer and Infineon Technologies AG undertake (subject to the following sentence) not to amend or terminate any provisions of this Agreement and to refrain from anything that could impair the rights of the Noteholders under the security assignment (§ 3) or otherwise. An amendment or termination of this Agreement shall only be effected if the rights of the Noteholders are not impaired thereby.