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1) May I ask what the priority ranking in bankruptcy proceedings is among preferred stock, senior debt(Is it the same as senior loan?), straight bond, convertible bond, and syndicated bond? May I ask if the priority ranking among equity, debt and loan is “equity < debt < loan”? 2) May I ask if Mezzanine debt is subordinate to senior debt? 

Finance Jan 22, 2021

1) May I ask what the priority ranking in bankruptcy proceedings is among preferred stock, senior debt(Is it the same as senior loan?), straight bond, convertible bond, and syndicated bond? May I ask if the priority ranking among equity, debt and loan is “equity < debt < loan”?

2) May I ask if Mezzanine debt is subordinate to senior debt? 

Expert Solution

1. Senior debt >straight bond> convertible bond>syndicate bond >preferred stock

2. Mezzanine loans are subordinate to senior debt but have priority over both preferred and common stock.

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