¶¶Òõ¶ÌÊÓƵ

The Intercompany Credit Agreement is essential for Nigerian companies seeking to establish formal lending arrangements within their corporate group structure. This document is typically used when one company within a group provides financial support to another related company, whether for operational funding, expansion projects, or restructuring purposes. The agreement must comply with Nigerian legislation, including the Companies and Allied Matters Act 2020, Banks and Other Financial Institutions Act, and relevant Central Bank of Nigeria regulations. It includes comprehensive details about the loan facility, security arrangements, corporate approvals, and regulatory compliance requirements. The document is particularly important for maintaining proper corporate governance, ensuring tax compliance, and establishing clear financial obligations between related entities in Nigeria.

1. Parties: Identification of the lender and borrower companies, including registration details and addresses

2. Background: Context of the loan arrangement and relationship between the parties

3. Definitions and Interpretation: Definitions of key terms and interpretation rules for the agreement

4. The Facility: Details of the loan amount, purpose, and drawdown mechanisms

5. Interest: Interest rate, calculation method, and payment terms

6. Repayment: Terms and schedule for repayment of the principal amount

7. Prepayment: Conditions and procedures for early repayment

8. Representations and Warranties: Standard corporate representations and compliance with Nigerian law

9. Covenants: Positive and negative obligations of the borrower

10. Events of Default: Circumstances constituting default and consequences

11. Taxes and Stamp Duty: Tax obligations and stamp duty requirements under Nigerian law

12. Notices: Communication procedures between parties

13. Assignment and Transfer: Restrictions on transfer of rights and obligations

14. Governing Law and Jurisdiction: Nigerian law as governing law and jurisdiction for disputes