Loan Syndication is the process of involving a group of lenders to fund various portions of loan for a single borrower.
Loan Syndication most often occurs when a borrower requires an amount too large for single lender to provide or when the loan is outside the scope of a lender's risk exposure levels.
Thus , multiple lender's form a syndicate to provide with the requested capital.
Loan Syndication is often used in corporate financing.
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