Debenture stock

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Related to Debenture stock: preferred stock, bonds, debenture bond

Debenture stock

A type of stock that makes fixed payments at scheduled intervals of time. Debenture stock differs from a debenture in that it has the status of equity, not debt, in liquidation.

Debenture Stock

A stock entitling the bearer to a certain fixed dividend at set periods of time. Like debenture debt, debenture stock offers fixed payments with no collateral beyond the company's performance. Unlike debenture debt, however, debenture stock is a form of equity, which puts it in a position behind all debts in the event of liquidation. Debenture stock operates almost identically to preferred stock.

References in periodicals archive ?

This will result in a one-off charge to the profit and loss account of pounds 1.98 million, but will reduce the annual interest paid on the debenture stock by pounds 690,000.

Mucklow says outlook bleak despite profits

The contribution from the pubs business, which included Ansells in the Midlands, fell by pounds 25 million to pounds 197 million, while exceptional items of pounds 358 million, largely relating to the corporate restructuring and redemption of loan and debenture stock, left the overall result half that reported a year earlier.

Allied Domecq lacks fizz as French deal goes flat

But, if successful, the company may decide to launch itself on the Alternative Investment Market, in which case the debenture stock may be convertible into shares.