Finance Deals & Syndicated Lending · glossary
Passing a lender's rights, such as the right to be repaid, to a buyer. A duty to lend cannot be assigned, so a lender that wants to leave a revolving facility completely uses novation instead. Clause 20.1 · Chapter 12
Explained in Chapter 12, Transfers and the Secondary Market, of Finance Deals & Syndicated Lending.
Also explained in Legal Due Diligence.
A lender can pass on its rights by assignment: the right to be repaid and the right to interest. It cannot assign its duty to lend, and that matters on Sunrise because Facility B is a revolving facility. Each Facility B lender must lend again whenever Atlas draws, for five years. A buyer by assignment could collect what Atlas owes, but the seller would still have to fund every new drawing.Read Chapter 12, Transfers and the Secondary Market →
Chapter 1 and this glossary are open to everyone; the whole edition is free to read with a free account until 31 January, and it stays open to an account opened by then.Chapter 1 of Finance Deals & Syndicated Lending and this glossary are free to read; the rest of the edition is in the Library, at €12 a month or €79 for a Year Pass.
Related terms
Where this term lives
This term is part of one complete fictional deal, with every document attached and a test after every chapter. Open Finance Deals & Syndicated Lending → · All terms A–Z →