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Debentures
In law, debenture refers to a document which creates or acknowledges a debt. In corporate finance, it refers to an instrument used by companies to loan money. Debentures are generally transferable.
299 Questions
What are Redeemable debentures?
Redeemable debentures are those securities which are to be repaid within a stipulated period / maturity period. For instance, X co issued 9% 7 years $ 1000 Debentures. This issue of debentures has coupon rate of 9% per year and redeemable period of 7 years. The amount raised by issuing thses debentures are to be repaid within 7 years from now.
Difference between Debenture Redemption Reserve and Capital redumption Reserve?
The Capital Redemption Reserve is a fund that secures a creditor. Debenture Redemption Reserve is for the purpose of security payments only.
Difference between debenture and equity share?
1)Preference Shares have 2 preferences first payment of dividend in every year in which dividend is proposed & first share capital of preference shares will be payab;e @ winding up or liquidation of the company,where as equity share holders dividend after preference share holders & even share capital capital is also paid after paying to preference share holders.
2)preference share holders are not owners of the company and do not enjoy any voting right. Where as Equity Shares has voting right & they are the real owners of company.
3)Preference Shares have a finite tenure and carry a fixed rate of dividend where as dividend to equity shares is payable rest of the dividend payable after preference share holders.
Detailed answer here: http://financenmoney.in/types-of-share/
What is the difference between debt and debenture?
A debenture is a debt security issued by a corporation that is not secured by their assets, but rather by the corporations credit. Bonds are lOUs between a borrower and a lender. The borrowers are generally public financial institutions and corporations. The lender is the bond fund, or an investor.
Is A debenture holder of the company a creditor of the company?
No, A debenture bond owner is just like any other bond owner. A debenture bond is an uninsured bond.
The owner of a bond is just lending their money to a company for a long-term period.
A bond is an example of a long-term debt. An owner of a company would be an example of an equity such as a stockholder (common, or preferred).
What does petitioner agrees to convert non payment proceedings mean?
"Petitioner agrees to convert non-payment proceedings" typically means that the petitioner, the party initiating a legal action, consents to change the nature of the proceedings from a focus on non-payment issues (like unpaid debts) to another type of legal action, possibly involving different claims or remedies. This conversion may allow for a broader examination of the case or a different approach to resolving the issues at hand. It indicates a willingness to adapt the legal strategy in pursuit of a resolution.
Give cases in debenture company law?
i want to get some information about the debenture cases. thank you
What is a debenture stock trust deed?
It is a formal legal document/contract that outlines the terms of the debenture issue between issuer and holders. States concerns to maturity date, interest rate, interest payment , protective provisions and any other terms & conditions between issuer & holders....
How do you execute debenture in Malaysia?
lol.... usually, the bank of china branch in KL can issures.... lol...
What is the Difference between a convertible debenture and a warrant?
A convertible debenture is a bond holding that has a certain right attached to it, usually a right to be converted over to stock if certain conditions are met.
A warrant is another name for a "option" or "rights", in which a person holds a contract to either buy or sell a stock at a specific price.
Which Companies have issued debentures in the recent years?
reliance industries reliance industries reliance industries
How many 1969 gto convertible's were painted mayfair maize?
Pontiac did not release those numbers. A lot! however 1968 was the big year for the color in the convertible model mostly.
I owned one and the older it got and color values to the consumer changed the more it looked like bright yellow aging badly. Most were color changed over the years.
Personally I liked the color however that impact resistant nose never really matched the body panels.
Sorry no help but no its not a special super duper rare color. Several thousand probably.
Ron
How can I find out about New Jersey Bell Telephone Company Debentures?
By simply looking it up on google, not here because its simple.
What is zero interest debenture?
Issue of the zero interest debenture does not carry any explicit rate of interest.The difference between th face value and the purchase price is the return to the investor(lender).
Did Pillowtex Corporation pay the Fieldcrest Cannon 6 Subordinated Debentures in full?
Pillowtex Corporation did not pay the Fieldcrest Cannon 6 Subordinated Debentures in full. Following its bankruptcy filing in 2003, the company was unable to meet its obligations to bondholders, including those holding the subordinated debentures. As a result, holders of these debentures received only a fraction of their investment, if anything at all.
To redeem a debenture, the holder must typically submit a redemption request to the issuing company ahead of the maturity date, following the terms outlined in the debenture agreement. The company will then pay the principal amount along with any accrued interest. If the debenture is callable, the issuer can redeem it before maturity under specified conditions, often at a premium. Always check the specific terms for any fees or conditions associated with the redemption process.
What is the difference between preference share and debentures?
Debenture and Preference shares are often confused with each other,,
Basically Preference share is an equity type instrument but debenture is a straight forward loan.
Debenture bear fixed interest and its a TAX deductible expense. Company may goes into liquidation if it fails to pay interest on debenture. on the other hand company pay wish to choose not paying any dividend to preference share holder in any given period.
debenture holder are lender to company
Preference share holder owns the company
What are the characteristics of debentures?
1. It is an instrument in writing. An oral promise in acknowledgement of a debt is not a debenture.
2. It is an acknowledgement of the indebtedness of the company to its holder for the amount stated in it.
3. It is usually under the seal of the company but it is not necessary. A certificate signed by two directors of a company and without bearing the company's seal is a valid debenture.
4. It is one of a series of like debentures. But a single debenture may be issued to one man.
5. It provides for the payment fixed sum with interest of a specified rate by a specified time. But this is not essential because a company may issue perpetual debentures. Section 120 of the companies' act 1956 expressly provides for the issue of perpetual or irredeemable debentures w3hich are made payable only in the event of a winding up or some serious default with the company.
6. It is generally secured by a charge, fixed or floating on any part of the company's property or undertaking. But this is, however, not an essential condition because section 2(12) provides that the debentures may or may not constitute a charge on the assets of the company.
From
Rohit Mathur Jaipur
A debenture is a debt security, like a bond is, but unlike a bond a debenture is unsecured. However, the two terms are basically interchangeable--a lot of people call bonds debentures and debentures bonds.
After redemption of debentures, debenture redemption reserve is to be transferred to general reserve.
A debenture is an unsecured bond that's issued either by a governmental or civil corporation and backed only by the credit standing or integrity of the issuer, not collateral. It is documented by an indenture, which is an agreement.
What do you mean by P1 rating in bonds and debentures?
P1" is the highest short-term rating category for Moody's Investor Service. P1 rating are considered to be of high credit quality
