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leveraged buyout

DEFINITIONS OF: leveraged buyout

1

n a buyout using borrowed money; the target company's assets are usually security for the loan

“a leveraged buyout by upper management can be used to combat hostile takeover bids”
Types:
bust-up takeover
a leveraged buyout in which the target company's assets are sold to repay the loan that financed the takeover
Type of:
buyout
acquisition of a company by purchasing a controlling percentage of its stock
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