Consent Solicitations and Exchange Offers: What They Mean for Holders
A practical guide to what’s really changing when an issuer asks you to “consent” or “exchange”
When companies run into covenant pressure, looming maturities, or simply want cheaper and longer-dated funding, they often approach existing securityholders with two closely related tools: consent solicitations and exchange offers. If you hold bonds, notes, preferreds, or even certain structured instruments, you’ll see these arrive in your inbox via a thick packet of legalese and a ticking clock. This post breaks down what each process is, why issuers use them, and how to analyze the trade-offs so you can decide with eyes open.