Loan Syndication
/ˈloʊn ˌsɪndɪˈkeɪʃən/
Definitions
- (n.) A financing arrangement where multiple lenders collectively provide portions of a loan to a single borrower under a unified agreement.
The bank arranged loan syndication to distribute the risk among several financial institutions.
- (n.) The formal process and legal documentation involved in organizing and managing a syndicated loan.
Loan syndication requires precise contracts to outline the rights and obligations of each lender.
Forms
- loan syndications
Related terms
See also
Commentary
Loan syndication terms often require careful negotiation to balance interests of diverse lenders and the borrower.
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.