As a financing device, warrants have been used in connection with ____.
A) bond swaps only
B) equity offerings only
C) debt restructurings and bond swaps only
D) bond swaps, equity offerings, and debt restructurings

Question

Quizplus · Accepted Answer

Warrants can be used in a variety of financing transactions. They can be attached to bonds in a bond swap, offered as a sweetener in an equity offering, or used in debt restructurings to incentivize creditors to agree to new terms. Therefore, the best choice is D – warrants can be used in bond swaps, equity offerings, and debt restructurings.

As a Financing Device, Warrants Have Been Used in Connection