debenture

noun
de·​ben·​ture | \ di-ˈben-chər How to pronounce debenture (audio) \

Definition of debenture

1 British : a corporate security other than an equity security : bond
2 : a bond backed by the general credit of the issuer rather than a specific lien on particular assets

Examples of debenture in a Sentence

Recent Examples on the Web Impact on mutual fund industry: The debt funds of many asset management companies (AMCs) took a severe beating as many of them had an exposure to the bonds and non-convertible debentures (NCDs) of the bank. Vatsal Bhandari, Quartz India, "Yes Bank crisis may be over for its depositors but India’s banking sector won’t recover soon," 16 Mar. 2020 In July, a key measure of the market’s wariness toward smaller Chinese banks (the yield gap between low- and top-rated non-convertible debentures) surged to as much as six times wider than before the Baoshang takeover. Washington Post, "China’s Shifting Approach to Bank Bailouts," 26 Nov. 2019 In August, a key measure of the market’s wariness toward smaller Chinese banks (the yield gap between low- and top-rated non-convertible debentures) had surged to as much as six times wider than before the Baoshang takeover. Washington Post, "No More Bailouts? China’s New Approach to Bank Stress," 20 Sep. 2019 Get our daily newsletter Around a sixth of seats on Centre Court, where the big-draw matches are played, are reserved for debenture-holders, who pay through the nose for a specific seat for five years. The Economist, "To get a ticket to Wimbledon you must be rich, patient or lucky," 11 July 2019 Investors received shares for 5 cents and debentures, a debtlike instrument with an issue price of 4.7 cents. Gabriele Steinhauser, WSJ, "Virtual-Cash Treasure in Zimbabwe Sparks Fight Over Billions," 2 Jan. 2019 The debentures were meant to be paid back in six years. Gabriele Steinhauser, WSJ, "Virtual-Cash Treasure in Zimbabwe Sparks Fight Over Billions," 2 Jan. 2019 In November, the company proposed converting the debentures into equity. Gabriele Steinhauser, WSJ, "Virtual-Cash Treasure in Zimbabwe Sparks Fight Over Billions," 2 Jan. 2019 These include banks that have provided some $6 billion in term loans and various debentures due in different years carrying different interest payments totaling another $14 billion. Ed Christman, Billboard, "iHeart Investors Seeking Injunction to Protect Their Debt Seniority Against Potential Bankruptcy Filing," 27 Feb. 2018

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'debenture.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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First Known Use of debenture

15th century, in the meaning defined at sense 1

History and Etymology for debenture

Middle English debentur, from Latin, they are due, 3rd plural present passive of debēre to owe — more at debt

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The first known use of debenture was in the 15th century

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Cite this Entry

“Debenture.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/debenture. Accessed 13 Jul. 2020.

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More Definitions for debenture

debenture

noun
de·​ben·​ture | \ di-ˈben-chər How to pronounce debenture (audio) \

Legal Definition of debenture

: an unsecured bond that is backed by the issuer's general credit rather than a specific lien

called also debenture bond

— see also indenture — compare mortgage bond at bond

Note: Debentures are often convertible to stocks.

History and Etymology for debenture

Anglo-French debentour and Medieval Latin debentura, perhaps from Latin debentur they are owed

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More from Merriam-Webster on debenture

Rhyming Dictionary: Words that rhyme with debenture

Nglish: Translation of debenture for Spanish Speakers

Britannica English: Translation of debenture for Arabic Speakers

Britannica.com: Encyclopedia article about debenture

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