direkteuet

Direkte Undertekning, often abbreviated as Direkte or DUE, is a financial expression that refers to the direct ownership of debt obligations by investors. In this context, the debt obligations are typically issued by a company or government to raise capital. When an investor undertakes a direct agreement to accept debt obligations, they become the creditor to the issuer, and the terms of the agreement are negotiated directly.

This concept is distinct from taking on debt obligation through the purchase of securities, such as bonds, which are traded on a public market. When purchasing a bond, investors become indirect creditors through their purchase of the security, whereas with Direkte Undertekning, they enter a direct agreement with the issuer. This can provide investors with a degree of control over the terms of the agreement and the return on their investment.

Direkte Transactions are relatively rare and can be used for a variety of reasons. They can be material for companies seeking alternative financing methods or for government entities requiring substantial funding. Direkte undertakings allow them to bypass public markets and issue securities directly to investors, potentially reducing costs.