buyout


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Buyout

Purchase of a controlling interest (or percent of shares) of a company's stock. A leveraged buy out is effected with borrowed money.

Buyout

1. An investment in which an entire company, or, more commonly, the controlling interest in the company, is sold. For example, if Jack and Frank each own a 50% stake in a mechanic shop, Frank may conduct a buyout by purchasing Jack's half of the company. In publicly-traded companies, buyouts are usually acquisitions by another company. However, a single investor may buy out a publicly-traded company; one calls this "going private." Other types of buyouts include venture capital buyouts or management buyouts. See also: Friendly takeover, Hostile takeover.

2. In a contract, the act of one party paying a fee to the other party to end the contract before its completion. The term especially applies to employer-employee contracts. See also: Break fee.

buyout

1. The purchase of a company. See also leveraged buyout.
2. The purchase of all the stock of a company, owned by a single investor or by a group of investors.

buyout

(1) Securing the removal of tenants from a building by paying cash incentives for the early termination of their leases.Owners may desire to buy out tenants in order to rehab the property to attract a better quality of tenant at higher rates; in order to sell the property to an owner-occupier; or to remove an objectionable tenant causing problems but not technically in default.(2) Securing the release of a tenant from lease obligations in another building so the tenant can rent in the owner's building.The other building's owner may permit the buyout if he or she believes the departing tenant can be replaced fairly quickly, thereby gaining a large windfall profit from the buyout payment.

References in periodicals archive ?
The district's current $44 million buyout budget will be able to pay for only a few hundred homes - less than 10 percent of these prioritized properties.
To check the robustness of these results, I use an alternative performance-adjusted benchmark and exclude LBOs carried out in a "hot" buyout market.
99 per cent in Latvijas Balzams before the voluntary buyout offer during which it proposed to buy the shares at the price of 9 euros per share .
The buyouts are a good deal for the county and the public and, even better, they come with a new lower-cost benefits plan for new employees.
Reportedly, the only general partner of Sentica Buyout III Ky and Sentica Buyout III Co-Investment Ky is Sentica Buyout III GP Oy, which exercises the power of decision in those companies.
For a white-collar employee, age 65 with a $3,500-a-month pension, a lump-sum buyout can easily be as much as $500,000, according to Thurman.
Sachin Date, EMEIA Private Equity Leader at Ernst & Young, said: "The UK buyout market hasn''t held up as well as some of its European neighbours in 2011, particularly France and Sweden, both of which saw increases from 2010 values.
After meeting the representatives of the tobacco associations, Minister Dimovski informed that from 212 buyout points in Macedonia, 84 had so far been opened and some 550 tons of tobacco had been bought out at an average price of 141.
Favorable macro-economic and stock market conditions stimulated the second buyout wave which ended in 2007.
4bn in deals seen at the peak in the second quarter of 2007 and Mr Marriott ruled out a swift return to the heady days of the buyout binge.
PET OWNER: The takeover of retailer Pets at Home contributed to a rise in buyout values
This heterogeneity of buyout types offers considerable opportunity for change and entrepreneurial pursuits that extend traditional agency theory explanations for buyouts.