leveraged buy-out
Borrowed-money takeover deal
A leveraged buy-out is the acquisition of a company using borrowed money, typically with the target company's own assets serving as collateral for the loans.
The acquiring party—often a private equity firm or management group—puts up relatively little of its own capital: The firm executed a leveraged buy-out of the retailer, loading it with debt.
Often abbreviated LBO.
- going privateWithdrawing from public markets
- target companyFirm sought for purchase
- hostile takeoverUnwanted corporate buyout attempt
- corporate raiderHostile acquisition specialist
- LBODebt-funded acquisition
junk bonds · acquisition · financing · asset stripping · fire sale · debt · tender offer · debt financing · debt load · equity · private equity · exit strategies · transaction · mergers · divestitures · due diligence · credit lines · investment
leveraged buy-outdivestiture
Disposal of assets
sell-off · spin-off · carve-out · liquidation · dissolution
leverage, leveraged, leveraging, leverages, lever, levers, levered, levering, buy