conversion ratio

The specified number of shares of common stock that will be received for each convertible bond or share of convertible preferred stock at the time of conversion. This ratio is specified at issuance in the bond indenture agreement. This is often an uneven amount using partial shares. American Banker Glossary
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Applies mainly to convertible securities ( convertible security). Relationship that determines how many shares of common stock will be received in exchange for each convertible bond or preferred stock when a conversion takes place. It is determined at the time of issue and is expressed either as a ratio or as a conversion price from which the ratio can be figured by dividing the par value of the convertible by the conversion price. Bloomberg Financial Dictionary
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The number of shares for which a convertible security may be exchanged. Exchange Handbook Glossary
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conversion ratio - convertible bond
It is the number of shares that a holder of a convertible bond receives at conversion. It is the ratio of the face value of the bond and the conversion price (see conversion price).
conversion ratio - covered warrant
This ratio is the number of warrants that must be held and exercised in order to buy or sell a single unit of the asset e.g. one share. A higher conversion ratio will produce a lower warrant price. London Stock Exchange Glossary
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The number of warrants that must be exercised to either buy (for call warrants) or sell (for put warrants) the underlying security. See also Parity. NYSE Euronext Glossary

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   The ratio for the convertibility of a preferred share into a fixed number of common shares, or from a convertible bond into the underlying shares.

Financial and business terms. 2012.

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