equity kicker

Equity kicker

Stock warrants issued attached to a new debt, preferred or common stock issue to improve the salability of the issue.

Equity Kicker

An option to purchase stock attached to a bond. A bond issuer may attach an equity kicker as a sweetener to encourage investment in the bond.

equity kicker

An addition to a fixed-income security that permits the investor to participate in increases in the value of equity ownership. Two common types of equity kickers are a convertible feature on some bonds that allows the bonds to be exchanged for shares of stock, and warrants to purchase stock that are sold in combination with a new bond issue. Compare real estate certificate of deposit.