Keepwell Agreement
A contract between a parent company and its subsidiary to maintain solvency and financial backing throughout the term set in the agreement.

Investopedia Says:
This is a method by which subsidiary companies may increase the creditworthiness of debt instruments and corporate borrowing.

Related Terms:
Bond
Corporate Finance
Debt

• Asset Stripper
• Asset Stripping
• Assets Under Management (AUM)
• Assets Under Management (AUM)
• Asset Swap
• Asset Swapped Convertible Option Transaction (ASCOT)
• Asset Swapped Convertible Option Transaction (ASCOT)
• Asset Turnover
• Asset Valuation
• Assign
• Assignable Contract
• Assignment
• Assignment Of Proceeds
• Assignment Of Trade
• Assimilation
• Associated Person
• Association of Southeast Asian Nations (ASEAN)
• Association of Southeast Asian Nations (ASEAN)
• Assumable Mortgage
• Assumed Interest Rate (AIR)
• Assumed Interest Rate (AIR)
• Assumption Clause
• Assurance
• Asymmetric Digital Subscriber Line (ADSL)
• Asymmetric Digital Subscriber Line (ADSL)