Publications

False Truisms in US Public Company LBOs

November 21, 2011
Law360

In the U.S. M&A community, there is a perception that the treatment of certain key deal terms in public company leveraged buyout transactions follows a "market practice." We have conducted a study of 31 recent U.S. LBOs involving private equity buyers. Consistent with market perception, we found that market practice existed for a number of deal terms. However, we also found that the following "truisms" regarding market practice were not, in fact, true (at least based on the results of the deal study).