Ticker

6/recent/ticker-posts

What is 'Optionally Convertible Debentures?

  What is  'Optionally Convertible Debentures' ?



Definition:

 Optionally convertible debentures are debt securities which allow an issuer to raise capital and in return the issuer pays interest to the investor till the maturity.

Description: 

The investor of such debentures has a right to convert the debt into equities of the issuing company at a price which is normally decided at the time of the issue.

Credit : EconomicTimes