Bond Redemption
/ˈbɑnd rɪˈdɛm(p)ʃ(ə)n/
Definitions
- (n.) The act of repaying or satisfying a bond obligation, typically at or prior to maturity.
The company completed the bond redemption ahead of schedule to reduce debt.
- (n.) The process by which a bond issuer buys back outstanding bonds from bondholders, often at a premium.
The issuer announced a bond redemption offer to retire the bonds at 102% of face value.
Forms
- bond redemption
- bond redemptions
Related terms
See also
Commentary
Bond redemption involves repaying bond principal to bondholders and may include early calls or scheduled maturities; clarity in defining whether redemption is voluntary or mandatory is important in legal drafting.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.