Legal English Dictionary
mezzanine debt
nouna debt taken on to finance a business that involves a high rate of interest with the right to buy shares in the business in the future. In terms of repayment it is ranked below senior debt but above equityBC Partners purchase of Foxtons for £380m was financed by £180m of senior debt, £70m of mezzanine debt and £130m of equity.
Synonyms and Other Spellings
- subordinated debt
- mezzanine financing
- mezzanine funding
