Betriebswirtschaftliche und rechtliche Aspekte der Kreditfinanzierung mit teilweisem Eigenkapitalcharakter unter besonderer Berücksichtigung von Wandelanleihen, Optionsanleihen und nachrangigen Instrumenten

By Karl Vischer, Fachhochschule beider Basel , Departement Wirtschaft, March 23, 2005

Executive Summary

Objective

The objective of this thesis is to examine the business and legal aspects of the main instruments of equity-linked debt financing. Special emphasis is placed on convertible bonds and warrant bonds. Subordinated financing instruments are additionally examined.

Structure

The thesis is divided into three main sections:

• Debt financing
• Equity-linked debt financing
• Subordinated financing instruments

The section on debt financing presents and illuminates the significance and necessity of such financing. A brief comparison and contrast of internal and external financing as well as of equity and debt financing is provided.

The section on equity-linked debt financing assesses the key financial instruments of this genre, primarily hybrid financial instruments. Convertible bonds, which form the core focus of the paper, and warrant bonds are dealt with here.

The section on subordinated financing instruments looks at the various creditor classes and the order of priority of their legal claims. Also in this section, selected instruments serve as examples of their genre.