liquidation

American  

[lik-wi-dey-shuhn] / ˌlɪk wɪˈdeɪ ʃən /

noun

1. the process of realizing upon assets and of discharging liabilities in concluding the affairs of a business, estate, etc.

2. the process of converting securities or commodities into cash.

3. the state of being liquidated.

   an estate in liquidation.

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liquidation British  

/ ˌlɪkwɪˈdeɪʃən /

noun

1. 1. the process of terminating the affairs of a business firm, etc, by realizing its assets to discharge its liabilities

   2. the state of a business firm, etc, having its affairs so terminated (esp in the phrase to go into liquidation )

2. destruction; elimination

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liquidation Cultural  

1. The conversion of the assets of a firm into cash, often just before the firm goes out of business.

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Other Word Forms

• nonliquidation noun
• preliquidation noun
• reliquidation noun

Etymology

Origin of liquidation

First recorded in 1565–75; liquidate + -ion

Example Sentences

The company has been teetering on the brink of liquidation for weeks and surviving on emergency financing from automotive customers after its lenders declined to put more money in.

From The Wall Street Journal

But its failure and subsequent liquidation caused delays in the construction of the Midland Metropolitan Hospital in Smethwick and the £335m Royal Liverpool Hospital.

From BBC

Ledn must now extend new loans with the liquidation proceeds to generate interest income needed to pay bondholders.

From The Wall Street Journal

That followed a disastrous week when Bitcoin briefly dipped to near $60,000 on Feb. 6 amid a broad selloff in megacap tech stocks, which triggered some liquidations in digital assets.

From Barron's

Last week’s falls were tied to a broad selloff in U.S. technology stocks, especially those linked to the artificial-intelligence trade, forcing liquidations in digital assets.

From Barron's

Related Words

• clearance
• destruction
• eradication
• expulsion
• removal
• withdrawal