The leveraged buy-out
that saw the Glazer family taKe over Manchester United has left the club with debts of pounds 514m and fans staging angry protests.
Corporate entrepreneurship and financial performance: The case of management leveraged buy-outs
. Journal of Business Venturing, 10, 225-247.
In the corporate world, mergers and leveraged buy-outs
have everyone looking over their shoulders.
Milken had nothing to do with merger and acquisition transactions or leveraged buy-outs
. Such activities were handled (as is the case in all investment banking firms) by the corporate finance and capital market departments of the firm.
According to Krugman, this need to restructure corporate capital created an opening for financial operators to engage in debt financed takeovers and leveraged buy-outs
in order to enforce the needed "change in management behavior" (Ibid.).
has been sentenced to bear a heavy burden: huge debt from two heavily leveraged buy-outs
in 1986 and 1988.
The end of the 1980s was marked by the twin fiascos of bad junk bonds and leveraged buy-outs
Attorneys involved with the bankruptcy say the examiner's recommendation could have wide-ranging implications for many other leveraged buy-outs
, by undercutting or reinforcing their legality.
The fact is that most leveraged buy-outs
are based on assumptions that never take retrenchment into account.
It might be hard to top the 80s with its friendly and hostile takeovers, leveraged buy-outs
and aggressive maneuvers by foreign rubber firms in the North American market.
Billions are available for leveraged buy-outs
that profit investment bankers, lawyers and corporate insiders.
The same can be said for the issues encountered in accounting for foreign taxes, leases, and leveraged buy-outs
. Finally, implementation of the standard would have been simpler if management had been given the responsibility to account for the expected results of tax planning rather than being required to follow a set of artificial and rigid rules.