CLO meaning

This glossary sets out many of the expressions commonly used in the leveraged finance market. Words appearing in the definitions in bold are defined elsewhere in this glossary. For further banking terminology, please refer to the main Banking & Finance Glossary... Acquisition finance glossary—A Acceleration Acceleration is the formal action taken by the agent, on the instructions of the majority lenders, following an event of default, such as making a demand for early repayment of the loan. See Practice Note: Accelerating a loan for more information... Accordion feature/accordion facility An accordion, also called an incremental debt feature, is a mechanism in the facilities agreement that, provided specified conditions are satisfied (for example, pro forma compliance with a leverage test), permits those lenders under the facilities agreement who wish to do so to advance additional debt. The terms for that extra debt are typically captured in an increase notice. This accordion or incremental debt flexibility is different from structural adjustment, which usually requires the majority consent...

Coronavirus (COVID-19)—implications for structured products and securitisation transactions [Archived] ARCHIVED: This Practice Note has been archived and is no longer being maintained. This Practice Note explores how the coronavirus (COVID-19) outbreak affects structured products and securitisation transactions, and provides practical pointers for lawyers working in these fields. For continuing news and analysis relevant to structured products and securitisation transactions, see Practice Note: Coronavirus (COVID-19) implications for Banking & Finance lawyers. Coronavirus (COVID-19) Lawyers worldwide are confronting a set of shared issues linked to the coronavirus (COVID-19) pandemic. Several matters are especially pertinent to banking and finance practitioners. For deeper coverage and commentary, see Practice Note: Coronavirus (COVID-19) implications for Banking & Finance lawyers, which is updated on a regular basis with news, practical guidance and analysis addressing the impact of COVID-19 developments, and includes topics such as force majeure in lending transactions and the execution of documents, while also outlining the implications for different types of banking and finance lawyers. This Practice Note concentrates on the...

This glossary sets out numerous expressions regularly encountered in the restructuring & insolvency sphere. Words shown in bold within definitions are themselves explained in other entries in this glossary as well. A Article X The MLIJ contains a single provision named Article X, aimed at jurisdictions that have already implemented the MLCBI, like England, or are weighing its adoption. Article X states: ‘Not withstanding any prior interpretation to the contrary, the relief available under [insert a cross-reference to the legislation of this State enacting Article 21 of the UNCITRAL Model Law on Cross-Border Insolvency] includes recognition and enforcement of a judgment’ (see Practice Note: UNCITRAL model law on recognition and enforcement of insolvency-related judgments (MLIJ): Article X). Asset-backed security (ABS) A form of security anchored by asset pools, for example loans, leases, and credit card receivables. Assimilated law From 1 January 2024, ‘retained law’ has been retitled ‘assimilated law’. The body of domestic law originally arising from EU obligations, created by the European...