Second Circuit: Notes Issued from Syndicated Loan Transaction Are Not Securities Under 'Reves' Test

In an important recent decision, the U.S. Court of Appeals for the Second Circuit reviewed a $1.7 billion syndicated loan and provided a helpful analytical framework for determining whether applicable securities laws were called into play.

8 minute readOctober 01, 2023 at 12:05 AM
By
Francis J. Lawall
Marcy J. McLaughlin Smith
Second Circuit: Notes Issued from Syndicated Loan Transaction Are Not Securities Under 'Reves' Test

Syndicated loans are regularly used to raise large amounts of capital to finance business ventures. Depending upon how the syndication is structured, there is risk that the facility could be

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