Recapitalization restructures a company's securities to change distribution, priority, and economic rights within the existing entity. Recapitalization is a corporate financing arrangement whereby a company adjusts its stock, bonds, or other securities as to amount, income allocation, or ... Summary
Recapitalization restructures a company's securities to change distribution, priority, and economic rights within the existing entity.
Recapitalization is a corporate financing arrangement whereby a company adjusts its stock, bonds, or other securities as to amount, income allocation, or priority among claimants, effectively reshuffling the capital structure within the existing corporate entity; it involves reclassification or alteration of securities rights and the relative ranking of claims while preserving the corporation's legal continuity.
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