Opinion ID: 1750252
Heading Depth: 2
Heading Rank: 2

Heading: anticipated corporate changes

Text: In an apparent effort to prevent a defeat of the basic purpose of the warrants by a change in corporate circumstances, 12 different possible situations are anticipated in paragraph 3 of the agreements: (1) A distribution upon capital stock payable in capital stock, i. e., a stock dividend. [2] (2) A division (split) of the outstanding capital stock. [2] (3) A combining (reverse split) of outstanding capital stock. [2] (4) A cash dividend upon stock not payable from net earnings or earned surplus. [3] (5) Such a dividend upon stock but not payable in cash. [3] (6) A capital reorganization. [4] (7) A reclassification of stock. [4] (8) A consolidation with another corporation. [4] (9) A merger with another corporation. [4] (10) The sale of all or substantially all of the assets of the corporation to another corporation. [4] (11) An offer to holders of capital stock for pro rata subscription for additional shares of stock or any other rights. [5] (12) A voluntary or involuntary dissolution. [5]