Best-efforts deal: Difference between revisions
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imported>Doug Williamson (Create the page. Source: LMA Guide to Syndicated Loans and Leveraged Finance transactions Oct 2013 page 5.) |
imported>Doug Williamson (Make context explicit.) |
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''Loans''. | 1. ''Loans''. | ||
In the context of loans, a best efforts deal is a syndicated loan, in which the arrangers commit to only part of the total amount required, and undertake to do their best to find other lenders to join the [[syndicate]], for the remainder of the total amount required by the borrower. | |||
2. ''Securities issuance''. | |||
In relation to an issue of securities, a best efforts deal is an arrangement in which an agent sells securities on behalf of the issuer, but does not guarantee the amount of capital that it will raise. | |||
== See also == | == See also == | ||
* [[Agent bank]] | * [[Agent bank]] | ||
* [[Club deal]] | |||
* [[Issuance]] | |||
* [[Security]] | |||
* [[Syndicated loan]] | * [[Syndicated loan]] | ||
* [[Underwritten deal]] | * [[Underwritten deal]] | ||
[[Category:Long_term_funding]] | |||
Latest revision as of 09:23, 9 January 2019
1. Loans.
In the context of loans, a best efforts deal is a syndicated loan, in which the arrangers commit to only part of the total amount required, and undertake to do their best to find other lenders to join the syndicate, for the remainder of the total amount required by the borrower.
2. Securities issuance.
In relation to an issue of securities, a best efforts deal is an arrangement in which an agent sells securities on behalf of the issuer, but does not guarantee the amount of capital that it will raise.
