Debtor-in-possession financing

Debtor-in-possession financing or DIP financing is a special form of financing provided for companies in financial distress or under Chapter 11 bankruptcy process. Usually, this security is more senior than debt, equity, and any other securities issued by a company. It gives a troubled company a new start, albeit under strict conditions.

See also

• Debtor in possession
• Bankruptcy
• Bankruptcy alternatives
• Shareholder loan
• Seniority (financial)
• Bail out (finance)
• Default
• Distressed securities
• Insolvency
• Liquidation

References

• Obtaining DIP financing and using cash collateral
• What you should know about lining up DIP financing
• Calpine closes $5 billion DIP financing
• Bankruptcy basics - Operating capital
• 11 USC 364 - Obtaining credit
• Federal Rules of Bankruptcy Procedure - Rule 4001c: Obtaining Credit

This business term article is a stub. You can help Wikipedia by expanding it.v · Categories: Business terms Corporate finance United States bankruptcy law Business term stubs Wikimedia Foundation. 2010. Игры ⚽ Поможем решить контрольную работу Beningbrough Hall 1992 African Cup of Nations (squads) Look at other dictionaries: debtor-in-possession financing — New debt obtained by a firm during the Chapter 11 bankruptcy process, Federal Bankruptcy Rule 4001 ( c)(1). This financing is unique because it is secured, that is, it has priority over existing debt, equity and other claims. Bloomberg Financial… …   Financial and business terms Debtor-in-possession financing — New debt obtained by a firm during the Chapter 11 bankruptcy process. The New York Times Financial Glossary * * * debtor in possession financing debtor in possession financing ➔ financing * * * debtor in possession financing UK US noun [U]… …   Financial and business terms Debtor-In-Possession Financing - DIP Financing — Financing arranged by a company while under the Chapter 11 bankruptcy process. DIP financing is unique from other financing methods in that it usually has priority over existing debt, equity and other claims. Chapter 11 gives the debtor a fresh… …   Investment dictionary Debtor in possession — Bankruptcy in the United States Bankruptcy in the United States Authority · History U.S. Trustee Court  …   Wikipedia financing — obtaining money resources. Businesses usually have to obtain finance at some time, either to go into business or expand operations. Glossary of Business Terms * * * financing fi‧nan‧cing [ˈfaɪnænsɪŋ ǁ fˈnænsɪŋ] noun [uncountable] BANKING the… …   Financial and business terms Bankruptcy Financing — Financing arranged by a company while under the chapter 11 bankruptcy process. Clearly, such financing is extremely high risk and is done at a relatively high interest rate. Sometimes referred to as turnaround financing or debtor in possession… …   Investment dictionary DIP financing — UK US noun [U] FINANCE ► DEBTOR IN POSSESSION FINANCING(Cf. ↑debtor in possession financing) …   Financial and business terms title financing — a form of lending over goods One of the defects of the law governing the creation of security rights over goods and chattels is the requirement that for the security to be validly constituted, either the cumbersome registration procedures must be …   Law dictionary factorage financing — A method of financing wherein the security arrangement leaves the security more or less in possession of, and subject to sale or handling by, the debtor, as part of a going business; usually substitutions of security from time to time are… …   Ballentine's law dictionary Chapter 11, Title 11, United States Code — Bankruptcy in the United States Bankruptcy in the United States Authority · History U.S. Trustee Court  …   Wikipedia 18+ © Academic, 2000-2024 Contact us: Technical Support, Advertising Dictionaries export, created on PHP, Joomla, Drupal, WordPress, MODx. Mark and share Search through all dictionaries Translate… Search Internet Share the article and excerpts Direct link … Do a right-click on the link above and select “Copy Link”