Merchant Bank

/ˈmɜːrtʃənt bæŋk/

Definitions

  1. (n.) A financial institution specializing in providing capital to companies through underwriting, loan services, and equity investments, often focusing on corporate finance rather than retail banking.
    The merchant bank facilitated the merger by underwriting the new equity issuance.

Forms

  • merchant bank
  • merchant banks

Commentary

Merchant banks primarily serve corporate clients and differ from commercial banks in that they engage in underwriting and investment services rather than deposit-taking.

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.

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