Dynamic Transaction Costs Definition | Law Insider

Define Dynamic Transaction Costs. means the sum of the Financial Advisory Fee (as defined in the Arrangement Agreement), the Fairness Advisory Fee (as ... DynamicTransactionCostsdefinitionSearchWithinDynamicTransactionCostsDefinitionsRelatedDefinitionsTransactionCostsCompanyTransactionCostsSPACTransactionAcquisitionCostsClosingTransactionExpensesProposedAcquisitionTargetWholesaleacquisitioncostStrategicTransactionFITERMIITransactionProposedAcquisitionTransactionPermittedAcquisitionConsiderationCompanyTransactionExpensesAcquisitionCostTransactionExpensesSpecifiedAcquisitionProFormaTransactionSubsequentAcquisitionTransactionEstimatedTransactionExpensesSellerTransactionExpensesM&ATransactionUnpaidTransactionExpensesTargetBusinessAcquisitionPeriodFinalTransactionExpensesSimplifiedacquisitionthresholdPermittedAcquisitionPost-AcquisitionPeriodRemoveAdvertisingOpenSplitViewShareCiteDynamicTransactionCosts meansthesumoftheFinancialAdvisoryFee(asdefinedintheArrangementAgreement),theFairnessAdvisoryFee(asdefinedintheArrangementAgreement)andallcostsincurredbytheVendorthatareassociatedwiththeArrangementandtheArrangementAgreementandanyagreementsancillarytotheArrangementAgreementortheArrangement,includingthisAgreement,includingcostsofcreatingthePartnership(asdefinedintheArrangementAgreement)andeffectingthesaleoftheNon-explorationAssets(asdefinedintheArrangementAgreement)bytheVendortothePartnership(asdefinedintheArrangementAgreement)pursuanttothePartnershipConveyanceAgreement(asdefinedintheArrangementAgreement)andalllegal,accounting,tax,transferagency,specialcommitteeoftheVendor’sboardofdirectors,printingandmailingcostsand,forgreatercertainty,excludestheOfficeLeasePayoutAmount.Sample1Basedon1documents1SaveCopyRemoveAdvertisingExamplesofDynamicTransactionCostsinasentenceEfficiencyStabilityandPracticalityProductiveAllocativeDynamicTransactionCostsCentralTraderMediumMediumMediumMediumMed/HighRegulationMediumMedium/LowMedium/LowLowLowTable5:EvaluationofDominanceInstruments3.5VIEWSOFSTAKEHOLDERSAswiththeviewsexpressedontheissueofgenerationadequacy,therewassomedivergenceofopinionamongstthestakeholdersastothebestmeansforrespondingtotheissueofESBdominance.RelatedtoDynamicTransactionCostsTransactionCostsmeansthecostsincurredorestimatedbytheManagementCompanytocoverthecosts(suchas,butnotrestrictedto,brokerage,Trusteecharges,taxesorleviesontransactions,etc.)relatedtotheinvestingordisinvestingactivityoftheTrust’sportfolio,interalia,necessitatedbycreationorcancellationofUnits,whichcostsmaybeaddedtotheNAVfordeterminingtheOfferPriceofUnitsortobedeductedfromtheNAVindeterminingtheRedemptionPrice.CompanyTransactionCostsmeansallfees,costsandexpensesoftheCompany,ineachcase,incurredpriortoandthroughtheClosingDateinconnectionwiththenegotiation,preparationandexecutionofthisAgreementandtheconsummationoftheTransactions,including:(a)allbonuses,changeincontrolpayments,retention,successfeesorsimilarpaymentspayablesolelyasaresultoftheconsummationoftheTransactionspursuanttoarrangements(whetherwrittenororal)enteredintopriortotheClosingDatewhetherpayablebefore(totheextentunpaid),onorfollowingtheClosingDate,andtheemployerportionofpayrollorsimilarTaxespayableasaresultoftheforegoingamounts;(b)allseverancepayments,retirementpaymentsorsimilarpaymentsorsuccessfeespayablepursuanttoarrangements(whetherwrittenororal)enteredintopriortotheClosingDateinconnectionwithoranticipationoftheconsummationoftheTransactionswhetherpayablebefore(totheextentunpaid),onorfollowingtheClosingDateandtheemployerportionofpayrollTaxespayableasaresultoftheforegoingamounts;and(c)alltransaction,deal,brokerage,financialadvisoryoranysimilarfeespayableinconnectionwithoranticipationoftheconsummationoftheTransactions;and(d)allcosts,feesandexpensesrelatedtotheD&OTail,butexcludinganytransfer,documentary,sales,use,stamp,registration,excise,recording,registrationvalueaddedandothersimilarTaxesandfees(includinganypenaltiesorinterest)payableinconnectionwiththeTransactions.SPACTransactionmeansatransactionorseriesofrelatedtransactionsinwhichtheCompany’soutstandingsharesofcapitalstockareexchangedfororotherwiseconvertedintosecuritiesthatarepubliclylistedonasecuritiesexchange(the“PublicShares”)throughamerger,acquisition,businesscombination,orsimilartransactionwithaspecialpurposeacquisitioncompanyoritssubsidiaryorparent(a“SPAC”).AcquisitionCostsmeansallfees,costsandexpenses,stamp,registrationandotherTaxesincurredbytheCompanyoranyothermemberoftheGroupinconnectionwiththeAcquisitionortheTransactionDocuments.ClosingTransactionExpensesmeans,withoutduplicationandineachcase,totheextentthattheyariseoutofengagementsorcommitmentsorContractsenteredintopriortoClosingorservicesprovidedpriortoClosingandnotpaidpriortotheClosing,feesandexpensesincurredbySelleroranyofitsSubsidiaries(includinganAcquiredCompany)thatareorbecomeobligationsoftheAcquiredCompaniesortheBusinessatoraftertheClosingandariseinconnectionwiththepreparation,executionandnegotiationofthisAgreementandtheotherTransactionAgreementsandtheconsummationofthetransactionscontemplatedherebyandthereby(includingtheReorganization),including(a)amountspayabletocurrentorformeremployees,officers,directors,orindependentcontractorsoftheAcquiredCompaniespursuanttoanyspecialbonuses,transaction-relatedbonuses,phantomequityplans,retentionplans,acceleratedcompensationorbenefitsorseveranceorothersimilararrangementsthatwereincurredpursuanttoContractsbetweenSellerandoneofitsSubsidiariesandanysuchPersonsandwereenteredintopriortoorattheClosingandarepayabletoanyPersonupon,orinconnectionwith,theexecutionofthisAgreementortheconsummationofthetransactionscontemplatedbythisAgreementandtheotherTransactionAgreements,includingtheReorganization(includingtheemployer’sshareofanypayrollandemploymentTaxespayableinconnectionwithanysuchcompensationandanyamountspayabletogross-upormakewholeanyPersonforincomeorexciseTaxesimposedwithrespecttosuchcompensation),butexcludinganyamountsowedpursuanttoanyContractsenteredintoafterthedatehereofwith,oratthewrittendirectionof,BuyeroraresolelybetweenBuyeroranyofitsAffiliatesandsuchPersonand(b)allfeesanddisbursementsofattorneys,accountants,andotheradvisorsandserviceproviders(includingallbrokeragecommissions,fees,expensesordisbursements)(providedthatwithrespecttoanysuchPersonengagedbytheAcquiredCompaniespriortotheClosing,ClosingTransactionExpensesshallincludeonlyfeesandexpenseswithrespecttoservicesrenderedpriortoorattheClosing).Fortheavoidanceofdoubt(solelysoastoavoiddoublecounting),andnotwithstandinganythingtothecontrarycontainedherein,theterm“ClosingTransactionExpenses”shallnotinclude(i)amountstotheextentincludedintheFinalClosingNetWorkingCapital,(ii)amountstotheextentincludedinFinalClosingIndebtedness,(iii)totheextentarisingsolelyfromactionstakenbyoronbehalfofBuyeratorfollowingtheClosing,(iv)totheextentanExcludedLiabilityor(v)anyexpensestotheextentBuyerisexpresslyresponsibleforpayingsuchexpensepursuanttoSection7.03(b),Section8.09(e)andSection10.01(d).ProposedAcquisitionTargetmeansanyPersonoranybrand,lineofbusiness,division,branch,operatingdivisionorotherunitoperationofanyPerson.Wholesaleacquisitioncostmeansthesameasthattermisdefinedin42U.S.C.Sec.1395w-3a.StrategicTransactionmeansatransactionorrelationshipinwhichtheCompanyissuessharesofCommonStocktoaPersonwhichis,itselforthroughitssubsidiaries,anoperatingcompanyinabusinessrelatedtothebusinessoftheCompanyandinwhichtheCompanyreceivesmaterialbenefitsinadditiontotheinvestmentoffunds,butshallnotincludeatransactioninwhichtheCompanyisissuingsecuritiesprimarilyforthepurposeofraisingcapitalortoanentitywhoseprimarybusinessisinvestinginsecurities.FITERMIITransactionmeansarepurchasetransactioninwhichtheRepurchaseDateisadatefixedbyagreementbetweenSellerandtheParticipatingFundswhichisnottheBankingDaynextfollowingtheSaleDateandforwhichoneormoreofthefollowingtwocategoriesofsecurities,asspecifiedbytheFunds,shallconstituteEligibleSecurities:(x)securitiesissuedbythegovernmentoftheUnitedStatesofAmericathataredirectobligationsofthegovernmentoftheUnitedStatesofAmerica,or(y)securitiesissuedbyorguaranteedastoprincipalandinterestbythegovernmentoftheUnitedStatesofAmerica,orbyitsagenciesand/orinstrumentalities,including,butnotlimitedto,theFederalHomeLoanBank,FederalHomeLoanMortgageCorp.,GovernmentNationalMortgageAssociation,FederalNationalMortgageAssociation,FederalFarmCreditBank,FederalIntermediateCreditBank,BanksforCooperatives,andFederalLandBanks.ProposedAcquisitionTransactionmeansatransactionorseriesoftransactions(oranyagreement,understandingorarrangement,withinthemeaningofSection355(e)oftheCodeandTreasuryRegulationSection1.355-7,oranyotherregulationspromulgatedthereunder,toenterintoatransactionorseriesoftransactions),whethersuchtransactionissupportedbySpincomanagementorshareholders,isahostileacquisition,orotherwise,asaresultofwhichSpincowouldmergeorconsolidatewithanyotherPersonorasaresultofwhichoneormorePersonswould(directlyorindirectly)acquire,orhavetherighttoacquire,fromSpincoand/oroneormoreholdersofoutstandingsharesofSpincocapitalstock,asthecasemaybe,anumberofsharesofSpincocapitalstockthatwould,whencombinedwithanyotherchangesinownershipofSpincocapitalstockpertinentforpurposesofSection355(e)oftheCode,comprise40%ormoreof(A)thevalueofalloutstandingsharesofstockofSpincoasofthedateofsuchtransaction,orinthecaseofaseriesoftransactions,thedateofthelasttransactionofsuchseries,or(B)thetotalcombinedvotingpowerofalloutstandingsharesofvotingstockofSpincoasofthedateofsuchtransaction,orinthecaseofaseriesoftransactions,thedateofthelasttransactionofsuchseries.Notwithstandingtheforegoing,aProposedAcquisitionTransactionshallnotinclude(A)theadoptionbySpincoofashareholderrightsplanor(B)issuancesbySpincothatsatisfySafeHarborVIII(relatingtoacquisitionsinconnectionwithaperson'sperformanceofservices)orSafeHarborIX(relatingtoacquisitionsbyaretirementplanofanemployer)ofTreasuryRegulationSection1.355-7(d).Forpurposesofdeterminingwhetheratransactionconstitutesanindirectacquisition,anyrecapitalizationresultinginashiftofvotingpoweroranyredemptionofsharesofstockshallbetreatedasanindirectacquisitionofsharesofstockbythenon-exchangingshareholders.ThisdefinitionandtheapplicationthereofisintendedtomonitorcompliancewithSection355(e)oftheCodeandshallbeinterpretedaccordingly.Anyclarificationof,orchangein,thestatuteorregulationspromulgatedunderSection355(e)oftheCodeshallbeincorporatedinthisdefinitionanditsinterpretation.PermittedAcquisitionConsiderationmeanstheaggregateamountofthepurchaseprice,including,butnotlimitedto,anyassumeddebt,earn-outs(valuedatthemaximumamountpayablethereunder),deferredpayments,orEquityInterestsoftheBorrower,tobepaidonasingularbasisinconnectionwithanyapplicablePermittedAcquisitionassetforthintheapplicablePermittedAcquisitionDocumentsexecutedbytheBorroweroranyofitsSubsidiariesinordertoconsummatetheapplicablePermittedAcquisition.CompanyTransactionExpensesmeanswithoutduplication,allfees,costsandexpensespaidorpayablebytheCompanyoranyofitsSubsidiariesinconnectionwiththenegotiation,preparationandexecutionofthisAgreement,theotherTransactionAgreements,theperformanceandcompliancewithallTransactionAgreementsandconditionscontainedhereinandthereintobeperformedorcompliedwith,andtheconsummationoftheTransactions,including(i)allfees,costs,expenses,brokeragefees,commissions,finders’feesanddisbursementsoffinancialadvisors,investmentbanks(includingplacementagents),dataroomadministrators,attorneys,accountantsandotheradvisorsandserviceproviderspayablebytheCompanyoranyofitsSubsidiaries,(ii)change-in-controlpayments,transactionbonuses,retentionpayments,severanceorsimilarcompensatorypaymentspayablebytheCompanyoranyofitsSubsidiariestoanycurrentorformeremployee(includinganyamountsdueunderanyconsultingagreementwithanysuchformeremployee),independentcontractor,officer,ordirectoroftheCompanyoranyofitsSubsidiariesasaresultoftheTransactions(andnottiedtoanysubsequenteventorcondition,suchasaterminationofemployment)andtheemployerportionofpayrolloremploymentTaxesincurredthereon,and(iii)amountsowing,payableorotherwisedue,directlyorindirectly,bytheCompanyoranyofitsSubsidiariestoanyAffiliateoftheCompanyoranyofitsSubsidiariesinconnectionwiththeconsummationoftheTransactions,includingfees,costsandexpensesrelatedtotheterminationofanyAffiliateAgreement.AcquisitionCostmeansthecosttoacquireatangiblecapitalassetincludingthepurchasepriceoftheassetandcostsnecessarytopreparetheassetforuse.Costsnecessarytopreparetheassetforuseincludethecostofplacingtheassetinlocationandbringingtheassettoaconditionnecessaryfornormalorexpecteduse.TransactionExpensesmeansanyfeesorexpensesincurredorpaidbytheBorroweroranyofitsSubsidiariesinconnectionwiththeTransactions,thisAgreementandtheotherCreditDocumentsandthetransactionscontemplatedherebyandthereby.SpecifiedAcquisitionmeansanyoneormorerelatedtransactions(a)pursuanttowhichtheBorroweroranyofitsSubsidiaries(otherthananExcludedSubsidiary)acquiresforanaggregateprincipalpurchasepriceofnotlessthan$50,000,000(i)morethan50%oftheCapitalStockinanyotherPersonor(ii)otherPropertyorassets(otherthanacquisitionsofCapitalStockofaPerson,capitalexpendituresandacquisitionsofinventoryorsuppliesintheordinarycourseofbusiness)of,orofanoperatingdivisionorbusinessunitof,anyotherPerson,and(b)whichisdesignatedbytheBorrower(bywrittennoticetotheAgent)asa“SpecifiedAcquisition”.ProFormaTransactionmeansanytransactionconsummatedaspartofanyPermittedAcquisition,togetherwitheachothertransactionrelatingtheretoandconsummatedinconnectiontherewith,includinganyincurrenceorrepaymentofIndebtedness.SubsequentAcquisitionTransactionhasthemeaningsetoutinSection2.6;EstimatedTransactionExpenseshasthemeaningsetforthinSection2.3(a).SellerTransactionExpensesmeans(i)allofthefees,costsandexpensesincurredbySeller,itsmembersormanagersorPrincipalsinconnectionwith,inanticipationoforincidenttothenegotiation,execution,anddeliveryofthisAgreementoranyagreementsrelatedhereto,orthetransactionscontemplatedherebyorthereby,orinconnectionwithorinanticipationofanyalternativetransactionswithrespecttotheSeller,includingallfees,costsandexpensespayabletoattorneys,financialadvisors,accountants,consultantsorotheradvisorsandallobligationsunderanyengagementletterorotheragreementorunderstandingwithanyinvestmentbankorbroker,(ii)allpaymentsbySellerorPrincipalstoobtainanythirdpartyconsentrequiredunderanyAcquiredContractinconnectionwiththeconsummationofthetransactionscontemplatedbythisAgreement,(iii)allobligationsthatariseinwholeorinpartasaresultoftheconsummationofthetransactionscontemplatedbythisAgreementunderanyAcquiredContract,ExcludedContractorSellerPlan,includingallchangeofcontrol,severance,retention,stockappreciation,phantomstockorsimilarobligationsoranyotheraccelerationsoforincreasesinrightsorbenefits,andallemployersidepayrollTaxesandmandatorymatchingobligationsthatarepayableorincurredbySellerinconnectionwithorasaresultofthesatisfactionofsuchobligations,and(iv)50%ofanyTransferTaxesthataretheresponsibilityoftheSellerpursuanttoSection2.2.2.M&ATransactionmeansa“DeemedLiquidationEvent”orothersimilartermsdefinedintheArticlesofAssociationoftheCompany,andintheabsenceofsuchdefinitioneachofthefollowingevents:(i)anymerger,reorganizationorconsolidationoftheCompanywithorintoanotherincorporatedPerson,ortheacquisitionoftheCompanybyanotherPersonbymeansofanytransactionorseriesofrelatedtransactions,exceptanysuchmerger,reorganizationorconsolidationinwhichtheissuedsharesoftheCompanyasofimmediatelypriortosuchtransactioncontinuetorepresent,orareconvertedintoorexchangedforsharesthatrepresent,immediatelyfollowingsuchmerger,reorganization,orconsolidation,atleastamajority,byvotingpower,oftheoutstandingsharesofthesurvivingoracquiringincorporatedPerson;or(ii)asaleorotherdispositionofallorsubstantiallyallofthesharesorassetsoftheCompany(including,forthispurpose,aconveyance,saleordisposition,oralicenseofallorsubstantiallyalloftheintellectualpropertyrightsoftheCompany,whichhastheeffectoreconomicimpactsimilartoasaleofallorsubstantiallyalloftheintellectualpropertyrightsoftheCompany),inasingletransactionoraseriesofrelatedtransactions.UnpaidTransactionExpenseshasthemeaningspecifiedinSection2.4(c).TargetBusinessAcquisitionPeriodmeanstheperiodcommencingfromtheeffectivenessoftheregistrationstatementfiledwiththeSECinconnectionwiththeCompany'sIPOuptoandincludingthefirsttooccurof(i)aBusinessCombination;or(ii)theTerminationDate.FinalTransactionExpenseshasthemeaningsetforthinSection3.2(b).Simplifiedacquisitionthresholdmeansthedollaramountbelowwhichadistrictmaypurchasepropertyorservicesusingsmallpur-chasemethods.Districtsadoptsmallpurchaseproceduresinordertoexpeditethepurchaseofitemsatorbelowthesimplifiedacquisi-tionthreshold.ThesimplifiedacquisitionthresholdforprocurementactivitiesadministeredunderfederalawardsissetbytheFARat48C.F.R.Part2,Subpart2.1[seebelow].Thedistrictisresponsi-blefordetermininganappropriatesimplifiedacquisitionthresholdbasedoninternalcontrols,anevaluationofrisk,anditsdocu-mentedprocurementprocedures.However,innocircumstancescanthisthresholdexceedthedollarvalueestablishedintheFARPermittedAcquisitionmeansanyacquisitionbyBorroweroranyofitswholly-ownedSubsidiaries,whetherbypurchase,mergerorotherwise,ofallorsubstantiallyalloftheassetsof,alloftheEquityInterestsof,orabusinesslineorunitoradivisionof,anyPerson;providedthat:Post-AcquisitionPeriodmeans,withrespecttoanyPermittedAcquisition,theperiodbeginningonthedatesuchPermittedAcquisitionisconsummatedandendingonthelastdayofthesixthfullconsecutivefiscalquarterimmediatelyfollowingthedateonwhichsuchPermittedAcquisitionisconsummated.