Management buyout

Management buyout is when a company's managers buy a large part or all of a company. They may buy from private owners or from a parent company.

Management and leveraged buyouts were a phenomenon of the 1980s. Leveraged buyouts use borrowed money.[1]

The venture capital industry has played a crucial role in the development of buyouts in Europe, especially in smaller deals in the UK, the Netherlands, and France.

References

  1. Simkovic, Michael 2011. Leveraged buyout bankruptcies. Columbia Business Law Review (1): 118.