- published: 31 Mar 2014
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In finance, senior debt, frequently issued in the form of senior notes or referred to as senior loans, is debt that takes priority over other unsecured or otherwise more "junior" debt owed by the issuer. Senior debt has greater seniority in the issuer's capital structure than subordinated debt. In the event the issuer goes bankrupt, senior debt theoretically must be repaid before other creditors receive any payment.
Senior debt is often secured by collateral on which the lender has put in place a first lien. Usually this covers all the assets of a corporation and is often used for revolving credit lines. It is the debt that has priority for repayment in a liquidation.
It is a class of corporate debt that has priority with respect to interest and principal over other classes of debt and over all classes of equity by the same issuer.
Notwithstanding the senior status of a loan or other debt instrument, another debt instrument (whether senior or otherwise) may benefit from security that effectively renders that other instrument more likely to be repaid in an insolvency than unsecured senior debt. Lenders of a secured debt instrument (regardless of ranking) receive the benefit of the security for that instrument until they are repaid in full, without having to share the benefit of that security with any other lenders. If the value of the security is insufficient to repay the secured debt, the residual unpaid claim will rank according to its documentation (whether senior or otherwise), and will receive pro rata treatment with other unsecured debts of such rank.
In finance, mezzanine capital is any subordinated debt or preferred equity instrument that represents a claim on a company's assets which is senior only to that of the common shares. Mezzanine financings can be structured either as debt (typically an unsecured and subordinated note) or preferred stock.
Mezzanine capital is often a more expensive financing source for a company than secured debt or senior debt. The higher cost of capital associated with mezzanine financings is the result of its being an unsecured, subordinated (or junior) obligation in a company's capital structure (i.e., in the event of default, the mezzanine financing is only repaid after all senior obligations have been satisfied). Additionally, mezzanine financings, which are usually private placements, are often used by smaller companies and may involve greater overall levels of leverage than issues in the high-yield market; they thus involve additional risk. In compensation for the increased risk, mezzanine debt holders require a higher return for their investment than secured or more senior lenders.
Are you small or medium sized entrepreneur thinking how to finance the growth of your company? Are the traditional sources of financing including debt or equity unavailable or unsuitable? Perhaps it is worth considering alternative sources of finance such as mezzanine. Mezzanine financing refers to the layer of financing between the company's senior debt and equity. Mezzanine financing is used for companies that are cash flow positive to further growth though expansion projects. In addition, mezzanine financing can be used for recapitalisations, turnarounds, management or leverage buyouts. If you would like to know more about mezzanine, please watch this short video and visit www.wbmf.eu. Thank you for watching and please follow VentureXchange South East Europe -- an initiative to kick-sta...
In finance, senior debt, frequently issued in the form of senior notes or referred to as senior loans, is debt that takes priority over other unsecured or otherwise more "junior" debt owed by the issuer. Senior debt has greater seniority in the issuer's capital structure than subordinated debt. In the event the issuer goes bankrupt, senior debt theoretically must be repaid before other creditors receive any payment. Senior debt is often secured by collateral on which the lender has put in place a first lien. Usually this covers all the assets of a corporation and is often used for revolving credit lines. It is the debt that has priority for repayment in a liquidation. This video is targeted to blind users. Attribution: Article text available under CC-BY-SA Creative Commons image source ...
What is SENIOR DEBT? What does SENIOR DEBT mean? SENIOR DEBT meaning, definition & explanation. In finance, senior debt, frequently issued in the form of senior notes or referred to as senior loans, is debt that takes priority over other unsecured or otherwise more "junior" debt owed by the issuer. Senior debt has greater seniority in the issuer's capital structure than subordinated debt. In the event the issuer goes bankrupt, senior debt theoretically must be repaid before other creditors receive any payment. Senior debt is often secured by collateral on which the lender has put in place a first lien. Usually this covers all the assets of a corporation and is often used for revolving credit lines. It is the debt that has priority for repayment in a liquidation. It is a class of corpo...
Today's words: Senior debt, unsecured debt, subordinated debt, mezzanine debt, junk debt/junk bonds. I teach ESL EFL English as a second language, mostly business English these days, but I do all lessons. Read, write, talk speak practice right here with the free teacher Phil! Free English as a second language practice lessons are available every day. Business English, such as economics, banking, finance and insurance lessons are rare so hopefully I can help you!
What is SUBORDINATED DEBT? What does SUBORDINATED DEBT mean? SUBORDINATED DEBT meaning. In finance, subordinated debt (also known as subordinated loan, subordinated bond, subordinated debenture or junior debt) is debt which ranks after other debts if a company falls into liquidation or bankruptcy. Such debt is referred to as 'subordinate', because the debt providers (the lenders) have subordinate status in relationship to the normal debt. Subordinated debt has a lower priority than other bonds of the issuer in case of liquidation during bankruptcy, and ranks below: the liquidator, government tax authorities and senior debt holders in the hierarchy of creditors. Debt instruments with the lowest seniority are known as subordinated debt instruments. Because subordinated debts are repayab...
The Arlington Senior Center held a debt exclusion information session specifically for senior citizens. The meeting gave seniors the opportunity to have their questions answered and their concerns voiced about all three ballot questions to be voted on June 14th. Website: http://news.acmi.tv Facebook: https://www.facebook.com/arlingtonpublicnews Twitter: https://twitter.com/ArlingtonPublic
CVEN 710 Mezzanine financing /subordinated debt Texas A&M; University College Station Texas USA Prof. Dr. Ivan Damnjanovic
Current Trends in Capital Acquisition and Leverage Financing What types of leverage multiples (senior debt & total debt) are industries getting? PART FIVE: A panel of investors discusses current trends in capital acquisition and leverage financing as part of the Pepperdine Private Capital Markets Project. http://bschool.pepperdine.edu/privatecapital
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DO GOOD AND DO WELL. Consider investing a small portion of your portfolio in a socially responsible investment that will improve the lives of hundreds of millions of people and mitigate climate change. SIMA provides senior debt to innovative companies that finance, manufacture, and/or distribute individual solar home systems in Africa, where as much as 85% of the population do not have access to electricity and are forced to burn fossil fuels for light. This devastates the environment and particularly harms women and children’s health. Your impact investment provides basic access to solar energy while earning attractive commercial returns in line with your risk preferences. SIMA’s fund is managed by some of the longest serving social asset managers with an excellent track record in the ...
What is SENIOR DEBT? What does SENIOR DEBT mean? SENIOR DEBT meaning, definition & explanation. In finance, senior debt, frequently issued in the form of senior notes or referred to as senior loans, is debt that takes priority over other unsecured or otherwise more "junior" debt owed by the issuer. Senior debt has greater seniority in the issuer's capital structure than subordinated debt. In the event the issuer goes bankrupt, senior debt theoretically must be repaid before other creditors receive any payment. Senior debt is often secured by collateral on which the lender has put in place a first lien. Usually this covers all the assets of a corporation and is often used for revolving credit lines. It is the debt that has priority for repayment in a liquidation. It is a class of corpo...
SENIORS AND DEBT http://www.irasmithinc.com Seniors and Debt is such a pervasive problem, it is possible that seniors will end up with a retirement in poverty rather than a life of great retirement activities and travel. Our video explains the unfortunate facts. Seniors and Debt ---------------------------------------- CLICK HERE: http://www.irasmithinc.com ---------------------------------------- More Information about seniors and debt: Seniors going bankrupt in soaring numbers - Business - CBC News www.cbc.ca/.../seniors-going-bankrupt-in-soaring-numbers-1.3129176 Jun 29, 2015 - More Canadians are outliving their savings and spending their golden years in debt. ... But after a run of bad luck, the 67-year-old wound up deep in debt and had to declare bankruptcy. .....
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SENIORS AND DEBT http://www.irasmithinc.com Seniors and Debt is such a pervasive problem, it is possible that seniors will end up with a retirement in poverty rather than a life of great retirement activities and travel. Our video explains the unfortunate facts. Seniors and Debt ---------------------------------------- CLICK HERE: http://www.irasmithinc.com ---------------------------------------- More Information about seniors and debt: Seniors going bankrupt in soaring numbers - Business - CBC News www.cbc.ca/.../seniors-going-bankrupt-in-soaring-numbers-1.3129176 Jun 29, 2015 - More Canadians are outliving their savings and spending their golden years in debt. ... But after a run of bad luck, the 67-year-old wound up deep in debt and had to declare bankruptcy. .....
HELP FOR SENIORS IN DEBT http://www.irasmithinc.com Seniors and Debt is such a pervasive problem, it is possible that seniors will end up with a retirement in poverty rather than a life of great retirement activities and travel. Our video explains the unfortunate facts. Seniors and Debt ---------------------------------------- CLICK HERE: http://www.irasmithinc.com ---------------------------------------- More Information about seniors and debt: Seniors going bankrupt in soaring numbers - Business - CBC News www.cbc.ca/.../seniors-going-bankrupt-in-soaring-numbers-1.3129176 Jun 29, 2015 - More Canadians are outliving their savings and spending their golden years in debt. ... But after a run of bad luck, the 67-year-old wound up deep in debt and had to declare bankruptcy. ... Senio...
In finance, senior debt, frequently issued in the form of senior notes or referred to as senior loans, is debt that takes priority over other unsecured or otherwise more "junior" debt owed by the issuer. Senior debt has greater seniority in the issuer's capital structure than subordinated debt. In the event the issuer goes bankrupt, senior debt theoretically must be repaid before other creditors receive any payment. Senior debt is often secured by collateral on which the lender has put in place a first lien. Usually this covers all the assets of a corporation and is often used for revolving credit lines. It is the debt that has priority for repayment in a liquidation. This video is targeted to blind users. Attribution: Article text available under CC-BY-SA Creative Commons image source ...
Professional financial training and modeling services at http://triviumfinancialgroup.com. Computation of IRR on senior debt, sub debt and equity and compuation of data on annual basis from quarterly model
Moody's is warning that the U.K. could face a downgrade if it doesn't get its post-Brexit trading pacts in order. Ameera David has the details. Then, Bianca . The UK, has had its credit rating outlook downgraded to negative by the ratings agency Moody's. The financial assessment came after the UK voted to leave the . Moody's doesn't have faith in Deutsche Bank's turnround plan and so has downgraded the rating on its unsecured debt. Senior unsecured debt now has a Baa2 .
Moody's is warning that the U.K. could face a downgrade if it doesn't get its post-Brexit trading pacts in order. Ameera David has the details. Then, Bianca . The UK, has had its credit rating outlook downgraded to negative by the ratings agency Moody's. The financial assessment came after the UK voted to leave the . Moody's doesn't have faith in Deutsche Bank's turnround plan and so has downgraded the rating on its unsecured debt. Senior unsecured debt now has a Baa2 .
Moody's is warning that the U.K. could face a downgrade if it doesn't get its post-Brexit trading pacts in order. Ameera David has the details. Then, Bianca . The UK, has had its credit rating outlook downgraded to negative by the ratings agency Moody's. The financial assessment came after the UK voted to leave the . Moody's doesn't have faith in Deutsche Bank's turnround plan and so has downgraded the rating on its unsecured debt. Senior unsecured debt now has a Baa2 .
Moody's is warning that the U.K. could face a downgrade if it doesn't get its post-Brexit trading pacts in order. Ameera David has the details. Then, Bianca . The UK, has had its credit rating outlook downgraded to negative by the ratings agency Moody's. The financial assessment came after the UK voted to leave the . Moody's doesn't have faith in Deutsche Bank's turnround plan and so has downgraded the rating on its unsecured debt. Senior unsecured debt now has a Baa2 .
Moody's is warning that the U.K. could face a downgrade if it doesn't get its post-Brexit trading pacts in order. Ameera David has the details. Then, Bianca . The UK, has had its credit rating outlook downgraded to negative by the ratings agency Moody's. The financial assessment came after the UK voted to leave the . Moody's doesn't have faith in Deutsche Bank's turnround plan and so has downgraded the rating on its unsecured debt. Senior unsecured debt now has a Baa2 .
Moody's is warning that the U.K. could face a downgrade if it doesn't get its post-Brexit trading pacts in order. Ameera David has the details. Then, Bianca . The UK, has had its credit rating outlook downgraded to negative by the ratings agency Moody's. The financial assessment came after the UK voted to leave the . Moody's doesn't have faith in Deutsche Bank's turnround plan and so has downgraded the rating on its unsecured debt. Senior unsecured debt now has a Baa2 .
Moody's is warning that the U.K. could face a downgrade if it doesn't get its post-Brexit trading pacts in order. Ameera David has the details. Then, Bianca . Sept. 23 (Bloomberg) -- Moody's Investors Service downgraded the long-term deposit and senior debt ratings of eight Greek banks by two levels. All of the . The financial services company, Standard and Poor's, has cut the credit rating of the European Union after the Brexit. The credit ratings agency says the EU has . - In part 3 of our series we will explore four major economies -- the Euro-zone, Japan, the US, .
Golden and Financially Empowered: Financial Lessons for Seniors Provided by Debt Reduction Services Inc and Todd Christensen, author of Everyday Money for Everyday People
Nicole Knight, Senior Education Debt Management Specialist, explains a common sense approach to borrowing wisely during medical school. She also includes information about student loan repayment options and strategies and tips for managing financial obligations during medical school.