Practicing Success
What is the term used for the issuance of debentures by a company to lenders as Secondary Security? |
Debenture Offering Secondary Debenture Issuance Collateral Debentures Debentures issued as Collateral Security |
Debentures issued as Collateral Security |
The term used for the issuance of debentures by a company to lenders as collateral security is "Debentures issued as Collateral Security." This term specifically describes the situation where a company issues its debentures to lenders as an additional security measure to secure a loan or overdraft. These debentures serve as collateral to protect the interests of the lending institution in case of default by the borrower. |