contingent conversion clause

contingent conversion clause definition - finance
A provision in a convertible bond or other convertible investment that limits the issuerÂ’s ability to force conversion until a specific event has occurred. One example of a possible contingent conversion clause is that a stock price must exceed the strike price for a period of two months.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

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