Journal of Financial Economics Vol. 29 No. 2 1991
The staying power of leveraged buyouts
Abstract
This paper documents the organizational status over time of 183 large leveraged buyouts completed between 1979 and 1986. By August 1990, 62% of the LBOs are privately owned, 14% are independent public companies, and 24% are owned by other public companies. The percentage of LBOs returning to public ownership increases over time, with LBOs remaining private for a median time of 6.82 years. The majority of LBOs, therefore, are neither short-lived nor permanent. The moderate fraction of LBO assets owned by other companies implies that asset sales play a role, but are not the primary motivating force in LBO transactions.
- DOI
- 10.1016/0304-405x(91)90004-4
- Volume
- 29
- Issue
- 2
- Pages
- 287-313
- Language
- en
- Sources
- bibtex:phds-export.bib openalex crossref