Document background
The Mezzanine Loan Term Sheet is a crucial document used in complex financing transactions where there is a need for additional debt financing beyond traditional senior debt, but without diluting equity ownership. This document is particularly relevant in the Irish market where mezzanine financing is commonly used in real estate development, corporate acquisitions, and growth capital scenarios. The term sheet captures the essential commercial terms, conditions, and structure of the proposed mezzanine facility, serving as a roadmap for the transaction and subsequent detailed documentation. Under Irish law, specific consideration must be given to security registration requirements, financial services regulations, and corporate benefit issues. The document typically precedes the full facility agreement and related security documentation, providing a basis for negotiation and outlining the key terms that will be expanded in the final documentation.
