recapitalization

(noun)

A restructuring of a company's mixture of equity and debt.

Related Terms

Examples of recapitalization in the following topics:

  • Bankruptcy and Bond Value

    • In a bankruptcy involving reorganization or recapitalization, as opposed to liquidation, bondholders may end up having the value of their bonds reduced, often through an exchange for a smaller number of newly-issued bonds.

  • Default Risk

    • In a bankruptcy involving reorganization or recapitalization, as opposed to liquidation, bondholders may end up having the value of their bonds reduced, often through an exchange for a smaller number of newly issued bonds.

  • Disadvantages of Bonds

    • In a bankruptcy involving reorganization or recapitalization, as opposed to liquidation, bondholders may end up having the value of their bonds reduced, often through an exchange for a smaller number of newly issued bonds.