Security agent

Borrowing and lending - documentation - security - secured syndicated lending.

In secured lending, a security agent is an agent that holds security assets on behalf of a lender, or a syndicate of lenders.

More parties in loan agreements

"Additional parties may need to be added [to facility agreements] in practice depending on the nature of the facilities, for example:

• Secured syndicated facilities, for example, require the appointment of a security agent to hold the security assets on behalf of the Lenders.
• Sustainability-linked Loans may involve the appointment of a Sustainability Co-ordinator which (if its role extends beyond signing) will also be a party to the agreement."

The ACT Borrower’s Guide to the LMA’s Investment Grade Agreements - 2022 - p116.

See also

• Agent
• Arranger
• Default
• Defaulting lender
• Documentation
• Facility
• Facility agent
• Finance party
• Impaired agent
• Investment grade
• Lehman provisions
• Loan agreement
• Loan Market Association (LMA)
• Party
• Secured debt
• Security
• Sustainability co-ordinator
• Sustainability linked loan (SLL)
• Syndicated loan

Other resource

• The ACT Borrower’s Guide to the LMA’s Investment Grade Agreements - 2022 - p116