Also known as fulcrum debt. The security most likely to convert to (or receive) equity ( www.practicallaw.com/5-382-3436) in a reorganized company after it emerges from Chapter 11 ( www.practicallaw.com/1-500-6505) of the Bankruptcy Code ( www.practicallaw.com/7-382-3256) . Some investors purchase this security as part of a strategy to take ownership of the company. While in the past, the fulcrum security was unsecured debt, today it is increasingly secured debt. For example, lenders may provide DIP financing ( www.practicallaw.com/0-382-3405) as part of a loan-to-own ( www.practicallaw.com/8-386-2450) strategy, based on an analysis that the debt represented by the DIP financing may ultimately result in a controlling ownership position in the company.