A back-to-back loan is when a subsidiary acquires a loan from the same bank where its parent secured the first loan.

Name: A back-to-back loan is when a subsidiary acquires a loan from the same bank where its parent secured the first loan.
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A back-to-back loan involves two companies in different countries borrowing equivalent amounts in each other's currency, often facilitated by banks, to hedge against currency risk, not necessarily involving the same bank for both loans.

A Back-To-Back Loan Is When a Subsidiary Acquires a Loan