The bank has submitted an expert opinion from an English legal expert that LMA`s under-holding is not an assignment of the loan and that none of the terms of the sub-equity require the assignment of any of the bank`s existing rights to the borrower, so that, in accordance with Uk law, the bank remains the lender in respect of the loan and that, therefore, the party entitled to bring an action against the borrower for non-payment of the loan. The distinguishing feature of an under-participation agreement is that the original lender remains the “registration lender” for the borrower and there is no direct contractual relationship between the subscriber and the borrower. No borrower consent is required, so this process may be confidential. Recent volatility in European financial markets has once again emphasised the importance of liquidity and flexibility in the banking sector. In these times, some lenders may try to restructure their balance sheets by reducing their exposure to certain sectors, countries and/or currencies in various existing transactions. The transfer provisions contained in a syndicated credit agreement provide a simple mechanism for lenders to buy or sell units in a syndicated credit agreement. Novation is the most efficient way to transfer the rights and obligations arising from a syndicated credit agreement from an original lender to a new lender. The existing agreement (including all outstanding obligations) between the original lender and the borrower is broken and replaced by a new agreement between the new lender and the borrower. A type of equity loan or sale of assets in which the borrower is neither consulted nor, in most cases, informed of the transaction. . .