Exam (elaborations)
What is an LBO? - ANSWER A leveraged buyout is the acquisition of a company using debt instruments as the majority of the purchase price. Pros:
- Course
- Institution
What is an LBO? - ANSWER A leveraged buyout is the acquisition of a company using debt instruments as the majority of the purchase price. Pros: 1. Valuation is realistic as it does not require synergies to achieve. Cons: 1. Ignoring synergies could result in an underestimated valuation. 2....
[Show more]