A loan made to finance a merger and acquisition that usually results in a high leverage ratio for the borrower is a

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A loan made to finance a merger and acquisition usually results in a high leverage ratio for the borrower, and this type of loan is commonly referred to as a highly leveraged transaction (HLT) loan. The other options, such as loan sold without recourse or with recourse, loan assignment transaction, and loan participation transaction, do not specifically refer to loans made for M&A purposes or the resulting high leverage ratio.

A Loan Made to Finance a Merger and Acquisition That