Top 10 Practice Tips: High Yield Debt Offerings


This Top 10 Practice Tips provides key points pertaining to high yield debt offerings. Many corporate lawyers, including capital markets lawyers, are intimidated by high yield offerings. A high yield debt offering will require much of the same work required in other securities offerings, such as preparation of a disclosure document, due diligence review, and negotiation of comfort letters and purchase agreements. However, the offering document for a high yield offering contains a section called the “Description of Notes” (or “DoN”) that describes the terms of the notes and indenture.