complex capital structure

Complex Capital Structure

A company's capital structure that consists of anything other than (or in addition to) stock and bonds. Capital structure consists of, in brief, the vehicles by which a company raises capital in order to maintain or expand operations. A complex capital structure may consist of convertible stock, warrants, rights, or convertible bonds, among other vehicles. A company may also have a complex capital structure if it divides its common stock into more than one class.

complex capital structure

A corporate capital structure that contains securities other than straight debt and stock. Thus, a firm that has securities outstanding such as convertible bonds, convertible preferred stocks, options, rights, or warrants is said to have a complex capital structure. Potential dilution of earnings resulting from a complex capital structure occurs in firms that report earnings per share on a primary and a fully diluted basis.
References in periodicals archive ?
24, 2015 /PRNewswire/ -- BGL Real Estate Advisors (BGL) is pleased to announce the closing of a complex capital structure for Ferragon Corporation (Ferragon).
Beales described the offer value as disappointing but admitted its complex capital structure meant that its shareholders may wish to accept the certainty provided by the proposal.
With this refinancing, we have addressed our previously complex capital structure in a holistic manner, taking advantage of favourable conditions in the debt markets.
The buyout was facilitated by a complex capital structure comprising private equity funding from Rutland Partners, a cross-border ABL package from Lloyds TSB Commercial Finance and a mezzanine tranche provided by Indigo Capital.
Companies that have potential common stock, such as stock options, warrants, and convertible securities, are considered to have a complex capital structure.
Granted, Houston-based Maxxam is a highly diversified company with a history of bankruptcies and drastic turnarounds and a complex capital structure, with a closely held block of Non-Cumulative Participating Convertible Preferred Stock and special provisions for board representation by holders of the Common Stock.
leveraged issuer with a significant amount of debt and/or complex capital structure.
Any company with potential common shares has a complex capital structure and must disclose both basic and diluted EPS.
Companies with a simple capital structure present BASIC EPS while those with a complex capital structure present primary and fully diluted EPS.
The complex capital structure also included a senior revolving credit facility, a mezzanine term loan, other real estate debt, certain real estate sale-leaseback transactions, and cash equity provided by Stephens Capital Partners and its equity partners.
It is also widely used as a method to allocate value to each tranche of the securities of a company with a complex capital structure, as is typical for venture backed companies.
Leveraged Issuers with significant amounts of debt and/or complex capital structure.