Senior Debt definition: Copy, customize, and use instantly
Introduction
The term "Senior Debt" refers to the debt obligations that have priority over other debt instruments in the event of liquidation or bankruptcy. It is typically secured by assets and holds higher priority than subordinated debt.
Below are various examples of how "Senior Debt" can be defined in different contexts. Copy the one that fits your needs, customize it, and use it in your contract.
Definition of "Senior Debt" in a corporate structure
This definition ties "Senior Debt" to its role in a corporate hierarchy of debt.
"Senior Debt" means the indebtedness of the company that is secured or unsecured, having priority over all other liabilities, including subordinated or junior debt, in the event of liquidation or bankruptcy.
Definition of "Senior Debt" in a loan agreement
This definition connects "Senior Debt" to a loan agreement.
"Senior Debt" refers to any debt obligation that ranks above other debt obligations in terms of repayment priority, typically including secured loans and other senior loans, subject to the terms of this agreement.
Definition of "Senior Debt" in a bankruptcy context
This definition links "Senior Debt" to bankruptcy proceedings.
"Senior Debt" means the debt obligations that must be repaid first before subordinated debt or equity holders are entitled to any distribution in the event of a bankruptcy or liquidation.
Definition of "Senior Debt" for priority claims
This definition ties "Senior Debt" to claims in a liquidation scenario.
"Senior Debt" refers to all obligations of the company that are due to lenders or creditors with claims that have a higher priority in the repayment order compared to any other creditors or obligations.
Definition of "Senior Debt" in an acquisition context
This definition connects "Senior Debt" to an acquisition financing deal.
"Senior Debt" means the primary debt financing that takes precedence over other forms of debt in the capital structure, typically provided by senior lenders, during an acquisition or leveraged buyout.
Definition of "Senior Debt" in a credit agreement
This definition links "Senior Debt" to a credit facility.
"Senior Debt" refers to the debt owed by the company under this credit facility, which takes precedence over all other debt obligations and is repaid before other subordinated or unsecured debts.
Definition of "Senior Debt" in a secured financing context
This definition ties "Senior Debt" to secured loans.
"Senior Debt" means the portion of the total debt that is secured by assets and holds priority over other unsecured debt in the event of liquidation or bankruptcy.
Definition of "Senior Debt" in the context of capital markets
This definition connects "Senior Debt" to capital markets transactions.
"Senior Debt" refers to debt instruments issued in the capital markets that rank higher than subordinated debt, typically having lower interest rates due to their higher priority in repayment.
Definition of "Senior Debt" in a financial covenant context
This definition links "Senior Debt" to covenant compliance.
"Senior Debt" refers to any debt obligations that are subject to financial covenants designed to protect the senior lenders' priority, typically requiring certain financial ratios to be maintained.
Definition of "Senior Debt" for restrictive covenants
This definition ties "Senior Debt" to restrictive covenants in an agreement.
"Senior Debt" refers to debt that is subject to the most stringent covenants, restricting the borrower from taking actions that could jeopardize the repayment of senior lenders.
Definition of "Senior Debt" in a leveraged buyout
This definition connects "Senior Debt" to the structure of a leveraged buyout.
"Senior Debt" means the debt financing used in a leveraged buyout that ranks ahead of all other debt and equity financing, including subordinated debt and equity securities, in terms of repayment priority.
Definition of "Senior Debt" in the context of asset-backed financing
This definition links "Senior Debt" to asset-backed loans.
"Senior Debt" refers to the loans that are secured by specific assets, and in the event of default, senior lenders have the right to claim these assets before any other creditors.
Definition of "Senior Debt" in a corporate refinancing context
This definition ties "Senior Debt" to a corporate refinancing agreement.
"Senior Debt" means the refinanced debt obligations that rank higher in priority over existing debt and are repaid first in any restructuring or refinancing arrangement.
Definition of "Senior Debt" for the purpose of debt restructuring
This definition connects "Senior Debt" to debt restructuring procedures.
"Senior Debt" refers to the highest-ranking debt obligations that remain unaffected during a debt restructuring, with the senior lenders receiving priority repayment over other creditors.
Definition of "Senior Debt" in a loan default scenario
This definition links "Senior Debt" to a default situation.
"Senior Debt" means the debt that must be repaid first in the event of a default, with senior lenders having the first claim on any available funds or assets.
Definition of "Senior Debt" in a cross-border financing context
This definition ties "Senior Debt" to international financing agreements.
"Senior Debt" refers to debt obligations that are considered senior in a cross-border financing arrangement, with a higher priority over other debts under international legal frameworks.
Definition of "Senior Debt" in relation to subordinated debt
This definition connects "Senior Debt" to subordinated debt in the capital structure.
"Senior Debt" means the debt that is superior in priority to subordinated debt and must be repaid first in the event of liquidation or financial distress.
Definition of "Senior Debt" for measuring leverage ratios
This definition links "Senior Debt" to leverage ratios.
"Senior Debt" refers to the portion of debt that is included when calculating leverage ratios, typically excluding subordinated or junior debt for more accurate financial risk measurement.
Definition of "Senior Debt" in terms of financial distress
This definition ties "Senior Debt" to a company’s financial distress situation.
"Senior Debt" refers to the debt that is repaid first during financial distress, securing a priority position over other forms of debt in the company’s capital structure.
Definition of "Senior Debt" for intercreditor agreements
This definition connects "Senior Debt" to intercreditor agreements.
"Senior Debt" refers to debt obligations that have priority over subordinated debt, as defined in an intercreditor agreement, ensuring senior creditors are repaid before others in case of default.
Definition of "Senior Debt" in a financial institution’s capital structure
This definition ties "Senior Debt" to a financial institution's capital structure.
"Senior Debt" means the portion of the capital structure that is considered senior, typically including bonds, syndicated loans, and other debt instruments that take precedence over junior debt.
Definition of "Senior Debt" for bank loans
This definition links "Senior Debt" to bank loan agreements.
"Senior Debt" refers to any loan or credit facility provided by a bank or financial institution that is given priority over other forms of borrowing in the case of liquidation or default.
Definition of "Senior Debt" for debt service payments
This definition ties "Senior Debt" to debt service obligations.
"Senior Debt" refers to debt that must be serviced first, meaning interest and principal payments are made on senior debt obligations before any payments are made to subordinated debt holders.
Definition of "Senior Debt" in a public offering context
This definition connects "Senior Debt" to public offerings of debt securities.
"Senior Debt" means the publicly issued debt securities that are senior in priority to any subordinated debt, offering a more secure investment for bondholders or lenders.
Definition of "Senior Debt" for debt refinancing negotiations
This definition links "Senior Debt" to negotiations for refinancing existing debt.
"Senior Debt" refers to debt obligations that rank higher than all other forms of debt and must be refinanced first in negotiations with creditors to ensure priority repayment.
Definition of "Senior Debt" in a strategic corporate investment
This definition ties "Senior Debt" to corporate strategic investment decisions.
"Senior Debt" means the debt that is treated with the highest priority when evaluating strategic investment opportunities, often requiring the repayment of senior lenders before other investors.
Definition of "Senior Debt" for debt covenants enforcement
This definition connects "Senior Debt" to the enforcement of debt covenants.
"Senior Debt" refers to obligations that are subject to enforceable covenants that protect the interests of senior lenders and ensure their priority in debt repayment.
Definition of "Senior Debt" in relation to corporate solvency
This definition links "Senior Debt" to corporate solvency assessments.
"Senior Debt" refers to debt obligations that must be satisfied before any other debts in the event of a corporate solvency assessment or liquidation.
Definition of "Senior Debt" in a subordinated loan agreement
This definition ties "Senior Debt" to subordinated loan structures.
"Senior Debt" means the debt that holds precedence over subordinated debt in a loan agreement, and must be repaid first in the event of a default.
Definition of "Senior Debt" for determining priority in distribution
This definition connects "Senior Debt" to distributions in insolvency.
"Senior Debt" refers to the debt that receives priority in the distribution of assets during insolvency, ensuring senior lenders are paid first.
Definition of "Senior Debt" in a structured finance transaction
This definition links "Senior Debt" to structured finance agreements.
"Senior Debt" refers to the highest-ranking debt in a structured finance transaction, such as collateralized debt obligations (CDOs), which takes precedence over all other debt in repayment.
Definition of "Senior Debt" for capital raising strategies
This definition ties "Senior Debt" to capital raising decisions.
"Senior Debt" means the portion of capital raised that is secured or senior in priority, typically being the first debt repaid from the proceeds of a capital raising effort.
This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.