LEVERAGED BUYOUT

Pronunciation (US): (GB):

Meaning:

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

Example:

a leveraged buyout by upper management can be used to combat hostile takeover bids

Classified under:

Nouns denoting acts or actions

Hypernyms ("leveraged buyout" is a kind of...):

buyout (acquisition of a company by purchasing a controlling percentage of its stock)

Hyponyms (each of the following is a kind of "leveraged buyout"):

bust-up takeover (a leveraged buyout in which the target company's assets are sold to repay the loan that financed the takeover)