upstream guarantee

Definition

Promise of the debt repayment of a parent company by a subsidiary company. This is done to share liability, increase available collateral, or otherwise improve the terms of a financing arrangement for the parent company. Upstream guarantees are often conditions of leveraged buy-outs.

Related Videos




http://www.businessdictionary.com/definition/upstream-guarantee.html

Today's Top Bulls

72% Bullish
(36 Votes)
70% Bullish
(102 Votes)
69% Bullish
(75 Votes)
Browse by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z