leveraged buyout

/ˈlɛvərɪdʒd ˌbaɪˈaʊt/

Other forms: leveraged buyouts

Definitions of leveraged buyout

1. noun

   a buyout using borrowed money; the target company's assets are usually security for the loan
   “a leveraged buyout by upper management can be used to combat hostile takeover bids”

   types:

   bust-up takeover

   a leveraged buyout in which the target company's assets are sold to repay the loan that financed the takeover

   type of:

   buyout

   acquisition of a company by purchasing a controlling percentage of its stock