Words / L / Business

leveraged buyout

noun

C1CEFR level
80/100Rarity: very rare
TechnicalRegister

The acquisition of a company financed largely with borrowed money, with the target's own assets and cash flows servicing the debt.

The private equity firm structured a leveraged buyout with sixty per cent of the purchase price funded by debt.

Similar: LBO

Topic: Corporate finance in Business English

Rarity runs from 0 (a word everyone knows) to 100 (almost never seen outside specialist or literary writing). Level is the word's real difficulty on the CEFR scale, from A1 to C2.

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More business words: Corporate finance