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If the deal doesn't close, The Switch will retain the 14.2 million Euro break up fee.
In ending the deal, Rio said it would continue to work with Chinalco and had agreed to pay Chinalco a $195 million break up fee.
Citi did not have a definitive merger agreement that included a break up fee provision.
That's why its incredibly rare that these things happen– particularly without a courtesy break up fee for the entrepreneur's trouble.
On the contrary, Cerberus and the RAM units claim that they negotiated specifically so that as long as the $100 million break up fee is paid, they can "walk away from this transaction with this limited exposure".
The firm not only pulled the termsheet, but when existing Bnter investors cried foul, Spark refused to pay a $200,000 break up fee to help cover the expenses the lean company had started to take on as a result of having a signed term sheet and — it thought– $2 million on the way to its bank account.
Similar(54)
Many of these payment streams have migrated into private equity deal-making, including transaction fees, monitoring fees, investment banking fees, director's fees, and break up fees.
The deal carries a $115 million break-up fee.
Shire was given a break-up fee to make up for the collapse of the deal.
"The other thing is: there is no break-up fee, no lock in.
Shrewdly, he insisted on keeping a low "break-up fee"—payable to Blackstone if it lost out to another suitor.
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