loan notes
Debt securities or instruments. They may be offered by a buyer or bidder, often as an alternative to cash in a takeover and can be a useful method, subject to the satisfaction of certain conditions, of enabling a selling shareholder to defer any liability to capital gains tax (or corporation tax on chargeable gains) in respect of any gain arising on the share disposal.
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Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

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  • vendor loan notes — In a private equity transaction, loan notes representing that element of the price to be paid for the target which a vendor agrees to defer and which is subordinated to the senior debt. Although similar in their terms to equity investor loans,… …   Law dictionary

  • subordinated loan notes — A debt instrument, which ranks for interest and repayment after other borrowings of a company. Related links loan notes Practical Law Dictionary. Glossary of UK, US and international legal terms. www.practicallaw.com. 2010 …   Law dictionary

  • zero coupon loan notes — loan notes on which no interest is payable. The principal and the interest are paid at the maturity date. Practical Law Dictionary. Glossary of UK, US and international legal terms. www.practicallaw.com. 2010 …   Law dictionary

  • loan note — Debt securities or instruments. They may be offered by a buyer or bidder, often as an alternative to cash in a takeover and can be a useful method, subject to the satisfaction of certain conditions, of enabling a selling shareholder to defer any… …   Law dictionary

  • loan note — ➔ note1 * * * loan note UK US noun [C] ► BANKING, FINANCE a legal agreement between a lender and a borrower giving the period of the loan, interest payments, etc.: »The computer services group has bought its biggest rival in a £3.28m cash and… …   Financial and business terms

  • loan stock — Capital investment which is treated as debt rather than share capital. Often similar to preference shares although with a higher security ranking than shares but with less security than bank borrowing and senior debt. When subordinated, they may… …   Law dictionary

  • Loan Note — An extended form of an IOU from one party to another that enables a payee to receive payments (possibly with interest) over a set period of time, ending with the date at which the entire loan is to be repaid. Loan notes are usually provided in… …   Investment dictionary

  • loan note — A form of loan stock (see debenture) in which an investor takes a note rather than cash as the result of a share offer to defer tax liability. The yield is often variable and may be linked to the London Inter Bank Offered Rate Loan notes are not… …   Big dictionary of business and management

  • Loan origination — is the process by which a borrower applies for a new loan, and a lender processes that application. Origination generally includes all the steps from taking a loan application through disbursal of funds (or declining the application). Loan… …   Wikipedia

  • loan agreement — UK See facility agreement. + loan agreement USA Also known as a credit agreement. The main transaction document for a loan financing between one or more lenders and a borrower. It sets out the: • Terms of the loan …   Law dictionary

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