A multi currency credit agreement is a contract drafted whenever a credit lending facility agrees to provide credit to an organization in more than one currency. The organization can also make the repayment in more than one currency. The parties credit lending facility entering into the agreement are referred to as the bank and the organization is referred to as the company.
There are few important details required to be mentioned in the agreement, they are follows:
Acquisition: The transaction or the series of transaction for the purpose acquiring the stock of a company.
The agreement currency and the agreed alternative currency
The applicable currency
The base interest rate
The borrowing date
The request or directive of any central bank or other Governmental Authority
The annual percentage rate at which the commitment fees is accruing
The consolidated total assets of the organization
Multi Currency Credit Agreement
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