Pointing to the rate at which Tesla is burning through cash, growing competition from other electric carmakers, and its difficulty hitting production targets, analysts and investors were skeptical that lenders would be willing to finance what would likely be the largest leveraged buyout
For the many companies whose leveraged buyouts
have failed, however, the negative repercussions have been far-reaching.
The firms that you read about in the newspapers these days as "private equity firms" are almost entirely leveraged buyout
KKR, probably the most exclusive leveraged buyout
firm in the world, has acquired and turned around many of the most famous companies in the U.S., such as RJR Nabisco and Beatrice Foods.
into a private company through a leveraged buyout
appears to reflect its executives' desire to continue the turnaround already under way without faring the scrutiny of Wall Street, according to industry analysts.
They also brought far greater acquisitiveness and larger professional staffs to middle-market acquisitions and, in doing so, they "institutionalized" the leveraged buyouts
* This study investigates the consequences of leveraged buyouts
(LBOs) on operating performance using a sample of 44 going-private transactions completed in the period 1985-1989.
In deciding this case, Federal District Judge Holderman rejected the assertion of the defendants that the law of fraudulent conveyance does not apply to leveraged buyouts
. First, the court found the language of the Bankruptcy Code itself "in no way limits [its] application so as to exclude LBOs." The Code's definition of a "transfer" of property and the statute invalidating a fraudulent transfer are both very broad and present no basis for finding an exemption for leveraged buyouts
(LBOs), the most highly leveraged acquisitions, mushroomed from less than $5 billion in 1983 to more than $60 billion in 1989, the year that included the $25 billion RJR-Nabisco transaction.
Many of these terms were coined to reflect the wave of acquisitions, mergers, leveraged buyouts
and muggings that have swept over business since the Sixties.
Asquith and Wizman find similar results for a different sample of leveraged buyouts
The effects of leveraged buyouts
and corporate restructuring on the economic efficiency of America's manufacturing sector are being debated on the floor of Congress and in the op-ed pages of the nation's newspapers.