Borrower Loan Buybacks Clauses
(Discounted Voluntary Prepayments) (Credit Agreement)

Summary

These borrower loan buyback (or discounted voluntary prepayments) clauses are used in a credit agreement in a syndicated loan transaction and allow the borrower to conduct Dutch auctions to repurchase and cancel their loans in the form of voluntary prepayments. These clauses include practical guidance, drafting notes, and alternate and optional clauses.. For alternate loan buyback clauses, see Borrower and Sponsor Loan Buybacks Clauses (Credit Agreement). See also Market Trends 2022/23: Borrower and Affiliate Loan Buybacks and Loan Buyback Provisions in Credit Agreements.