debenture stock

      loan contract issued by a company or public body specifying an obligation to return borrowed funds and pay interest, secured by all or part of the company's property. Certificates specifying the amount of stock, with coupons for interest attached, are usually issued to the lenders. The interests of the stockholders may be protected by a trust deed naming a trustee who acts on behalf of the stockholders and against whom they actually have claim. In case of default, the debenture holder may appoint a receiver to seize and realize assets and repay the money secured. Compare bond.

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Universalium. 2010.

Look at other dictionaries:

  • Debenture stock — (Finance) The debt or series of debts, collectively, represented by a series of debentures; a debt secured by a trust deed of property for the benefit of the holders of shares in the debt or of a series of debentures. By the terms of much… …   The Collaborative International Dictionary of English

  • debenture stock — A registered participation in debt issued by a company which is normally freely transferable and is generally listed on a recognised investment exchange. Debenture stock will typically be secured by a floating charge over all the undertaking and… …   Law dictionary

  • debenture stock — A type of stock that makes fixed payments at scheduled intervals of time. Debenture stock differs from a debenture in that it has the status of equity, not debt, in liquidation. Bloomberg Financial Dictionary A form of loan stock legally defined… …   Financial and business terms

  • debenture stock — /dəˈbɛntʃə stɒk/ (say duh benchuh stok) noun a total amount borrowed by a corporation from a number of lenders, and treated as a single stock rather than as a number of separate loans …   Australian English dictionary

  • debenture stock — /dɪ bentʃə stɒk/ noun a capital borrowed by a company, using its fixed assets as security …   Dictionary of banking and finance

  • debenture stock — noun : a corporate security issue common in Great Britain that usually has no fixed maturity date for the principal but that has a fixed claim to interest payments which takes precedence over preferred and common stocks …   Useful english dictionary

  • debenture — de·ben·ture /di ben chər/ n [Anglo French debentour and Medieval Latin debentura, perhaps from Latin debentur they are owed]: an unsecured bond that is backed by the issuer s general credit rather than a specific lien – called also debenture… …   Law dictionary

  • stock — n 1 a: the equipment, materials, or supplies of a business b: a store or supply accumulated; esp: the inventory of the goods of a merchant or manufacturer 2: the ownership element in a corporation usu. divided into shares and represented by… …   Law dictionary

  • debenture — /dabentyar/ Long term unsecured debt instrument, issued pursuant to an indenture. A promissory note or bond backed by the general credit and earning history of a corporation and usually not secured by a mortgage or lien on any specific property;… …   Black's law dictionary

  • stock — physical items ( inventory) that a business uses in its production process or has for sale in the ordinary course of doing business. Glossary of Business Terms Ownership of a corporation indicated by shares, which represent a piece of the… …   Financial and business terms

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