Understanding how debt covenants work and how to navigate them ensures that a high-yield bond is tailored to the needs of both investors and the issuer.
Our four-part multimedia series, "High-Yield Bonds in Asia: What Every Issuer Needs to Know," offers practical insights on high-yield debt for Asia-based issuers seeking to understand important covenants and trends.
In our last video, we explained the general principles of a high-yield covenant package and the issue of structural subordination.
In this third video of our series "High-Yield Bonds in Asia - What Every Issuer Needs to Know," Mayer Brown partner Jason T. Elder discusses one of the most important covenants, the debt covenant, including its purpose, ratio debt and permitted debt exemptions.
Visit us at www.mayerbrown.com
Mayer Brown is a global legal services organization comprising legal practices that are separate entities (the Mayer Brown Practices). The Mayer Brown Practices are: Mayer Brown LLP, a limited liability partnership established in the United States; Mayer Brown International LLP, a limited liability partnership incorporated in England and Wales; Mayer Brown JSM, a Hong Kong partnership, and its associated entities in Asia; and Tauil & Chequer Advogados, a Brazilian law partnership with which Mayer Brown is associated. "Mayer Brown" and the Mayer Brown logo are the trademarks of the Mayer Brown Practices in their respective jurisdictions.
© Copyright 2019. The Mayer Brown Practices. All rights reserved.
This article provides information and comments on legal issues and developments of interest. The foregoing is not a comprehensive treatment of the subject matter covered and is not intended to provide legal advice. Readers should seek specific legal advice before taking any action with respect to the matters discussed herein. Please also read the JSM legal publications Disclaimer.
We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.