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The Bridge Loan Agreement is a crucial financing document used when companies require immediate funding before securing long-term financing or completing a specific transaction such as an M&A deal or IPO. This agreement type is particularly relevant in Hong Kong's dynamic financial market, where bridge financing is commonly used in various corporate transactions. The document typically includes specific provisions required under Hong Kong law and establishes the terms for a short-term loan facility, including the loan amount, interest rate, repayment terms, conditions precedent, and importantly, the mechanism for refinancing or repaying the bridge loan through permanent financing. The agreement must comply with Hong Kong's regulatory framework, including the Banking Ordinance and Money Lenders Ordinance, while reflecting international banking practices common in Hong Kong's financial sector.
