Debentures can be redeemed in several ways, typically at maturity when the issuer repays the principal amount to bondholders. They may also be redeemed early through a call option, allowing the issuer to buy back the debentures before the maturity date at a predetermined price. Additionally, some debentures may have provisions for conversion into equity or other securities, which can effectively serve as a form of redemption. The specific terms for redemption are outlined in the debenture's indenture agreement.
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