going private(redirected from Taking Private)
A process in which the senior management of a publicly-traded company or a small group of investors buys all of the company's shares outstanding. Going private gives the management or investor group complete control of the company and allows it to operate without recourse to shareholders. Going private is often highly leveraged. When the management purchases the company, one usually refers to the act as a management buyout.
The process by which a publicly held company has its outstanding shares purchased by an individual or by a small group of individuals in order to obtain complete ownership and control. The group wishing to take the firm private may feel that the market is undervaluing the shares. In addition, the purchaser(s) may not wish to meet the various requirements imposed on a publicly held company. Also called management buyout.