Recent Examples of bondholder from the Web
On May 1st Hovnanian paid other bondholders but defaulted on those held by the subsidiary.
The moves are designed to putting the stake out of reach of bondholders who financed PetSmart's acquisition with $2 billion in debt, Bloomberg said.
His advisers are negotiating repayment terms with bondholders, yet any settlement requires the board’s approval.
Argentina had been closed to international markets for more than a decade amid a long-running legal fight with bondholders that followed a default on its debt.
Still, the paper said, Chewy may be worth nearly double the $3 billion price PetSmart, one PetSmart bondholder told the paper.
The New Balance affiliate and its private equity partner, Berkshire Partners, ended up quietly selling Rockport to bondholders last fall.
Law firm Paul, Weiss, Rifkind, Wharton & Garrison LLP and financial adviser PJT Partners are advising the bondholders backing the company’s restructuring.
Two liquidation firms and a group of company bondholders won the bid to secure the company’s assets, which will be liquidated as the stores are closed.
These example sentences are selected automatically from various online news sources to reflect current usage of the word 'bondholder.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.
Financial Definition of BONDHOLDER
What It Is
A bondholder is a person who owns a bond issued by a borrower, typically a company or a government.
How It Works
A bond represents a loan agreement between an issuer and an investor, and the terms of the bond obligate the issuer to repay the borrowed amount (the principal) by a specific date. The investor (the bondholder) usually earns a specific amount of interest on a semiannual basis.
Bondholders can buy and sell their bonds on the bond market.
Why It Matters
Being a bondholder is much different that being a shareholder. For one thing, bondholders are lenders; shareholders are owners. Also, bondholders cannot vote and they are not entitled to dividends. But perhaps most important is the fact that bondholders rank senior to shareholders. This means that the bondholders are among the first in line to be repaid in the event the issuer liquidates. Shareholders might receive some proceeds from the liquidation after this point, if there is anything left. This seniority provides an extra level of security for bondholders, and this is one reason corporate bonds are generally considered "safer" investments than stock.
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