Leveraged Buyout Direct
: The cash investment from the PE firm, usually 10%–40% of the deal. The LBO Lifecycle
: The future cash flows of the acquired business are used to pay down the interest and principal of the debt over time. leveraged buyout
: Secured by assets and paid first; carries the lowest interest rates. : The cash investment from the PE firm,
LBOs are defined by their unique capital structure and the use of the target company's own assets to facilitate the purchase. leveraged buyout
