A debenture is an instrument used by a lender, such as a bank, when providing capital to companies and individuals. Debentures are written instruments of debt that companies issue under their common seal. They are similar to a loan certificate. 3 senses: 1. Also called: debenture bond a long-term bond, bearing fixed interest and usually unsecured, issued by a company or. Debentures represent a company's formal debt obligation, commonly issued to raise capital. They involve investors lending money to the issuer in exchange. A document that tells how much money you owe someone is a debenture. If you borrow ten dollars from the neighbor kid's lemonade stand earnings, you'd better.
A Distribution is payable only to the extent that payments are made in respect of the Debentures held by the Institutional Trustee and to the extent the. A debenture is a form of unsecured debt (in American usage). · The debenture is the most common variety of bonds issued by corporations and government entities. Debentures refer essentially to unsecured bonds within the United States. Corporations and governments use debentures as long term funding options. The debenture is a written tool accepting a debt under the general authentication of the enterprise. Types of debentures are - Secured, Unsecured. The latter part of the definition bifurcates debentures into secured and unsecured instruments. What Is A Secured Debenture? A secured. to owe (debt) Discover More Example Sentences He drew a princely salary and a substantial dividend, he was listed as a debenture holder and was accounted a. A debenture is a medium- to long-term debt instrument used by large companies to borrow money, at a fixed rate of interest. A debenture is a document or certificate acknowledging a debt on which a company promises to pay interest and repay the principal at a specified future date. Debentures are a type of bond or other debt instruments that is unsecured by collateral. It is a debt instrument that is not collateral and often has a. Typically a debenture creates a fixed charge over the assets of the company which are not disposed of in the ordinary course of business and a floating charge. In the context of a Note that falls within the definition Section 2 of the Securities Act defines the term “security” broadly and specifically includes Bonds.
(a) debentures;. (b) debenture stock;. (c) loan stock;. (d) bonds;. (e) certificates of deposit;. (f) any other instrument creating or acknowledging. A debenture is a type of long-term business debt not secured by any collateral. It is a funding option for companies with solid finances that want to avoid. What is a debenture? A debenture is an instrument used by a lender, such as a bank, when providing capital to companies and individuals. A medium-term investment issued by a company where investors lend them money in exchange for a regular and fixed interest amount for the term of the investment. A debenture is an instrument used by a lender, such as a bank, when providing capital to companies and individuals. Definition of a debenture. A debenture is a way that larger, public limited companies might borrow money at a fixed rate of interest. The company borrows money. 1. Debenture: · A debenture is a type of debt instrument issued by companies to raise capital. · It is not secured by physical assets or collateral. a type of loan, often used by companies to raise money, that is paid back over a long period of time and at a fixed rate of interest. Debenture definition. Simply put, a debenture is an agreement made between a borrowing company and a lender. It confirms that the loan is secured against the.
debenture · 1. (Banking & Finance) Also called: debenture bond a long-term bond, bearing fixed interest and usually unsecured, issued by a company or. 1. British: a corporate security other than an equity security: bond 2. a bond backed by the general credit of the issuer rather than a specific lien on. Definition: A medium or long term debt format that large companies use to borrow money. · Convertible debentures: Convertible bonds or bonds that can be. Debenture. Browse Terms By Number or Letter: Any debt obligation backed strictly by the borrower's integrity, e.g. an unsecured bond. A debenture is. Dictionary. all. Debentures. Debentures Meaning: In deposit terminology, the Debentures are generally unsecured by assets and are interest bearing securities.
A debenture is a medium or long-term financial instrument issued by a company when it wants to borrow money from investors. The company pays a regular interest.