Define: Parental Guarantee
Parental Guarantee means a binding assurance given by a parent entity to fulfill obligations, in a form satisfactory to the recipient, as if it were the primary debtor.
Parental Guarantee means a binding assurance given by a parent entity to fulfill obligations, in a form satisfactory to the recipient, as if it were the primary debtor.
Relevant Circumstances
- When a subsidiary company is applying for credit.
- To secure financial obligations within business deals.
- In facilitation of mergers and acquisitions.
- As a part of debt restructuring process.