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Private Equity Can Make Firms More Innovative

Harvard Business Review

At the same time, there are certain ways LBOs can actually make it easier for firms to invest in the long term. Because of their relationships with banks, PE funds can get financing much cheaper than target companies could under their current management. that didn’t undergo buyouts.

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Private Equity’s New Phase

Harvard Business Review

The types of private equity firms and the approaches to managing these firms has evolved over the last 40 years through three general phases. This phase was loosely called leverage buy out (LBO) from about 1979 to 1990 and included over 2,000 LBOs. a condo development, apartment building, or golf course).

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