Lerner, 2009, "The Performance of Reverse Leveraged Buyouts," Journal of Financial Economics 91, 139-157.
Larcker, 1996, "The Financial Performance of Reverse Leveraged Buyouts," Journal of Financial Economics 42, 293-332.
Rosenfeld, 1993, "Takeover Activity and the Long-Run Performance of Reverse Leveraged Buyouts," Financial Management 22, 46-57.
We document the different types of restructuring activities undertaken during the private period after the reverse leveraged buyout (RLBO) of previously public firms.
Over the past four decades, private firms going public through a reverse leveraged buyout (RLBO) transaction have increased in frequency and importance.
40) reports that reverse leveraged buyouts in 1991 did well in the aftermarket.
Larcker, "The Financial Performance of Reverse Leveraged Buyouts," Working Paper, University of Pennsylvania, April 1993.
A reverse leveraged buyout occurs when either a publicly traded firm or a division within one converts to private ownership via a leveraged buyout (LBO) and subsequently goes public.
However, if the investment behavior of reverse LBOs was similar to that of a typical IPO, as reported by Ritter, then part of the premium paid by investors at the time of the reverse leveraged buyout could be due to overpricing.