see Short and long positions.
see Flexible exchange rates.
see Euribor.
see Floating rate note.
see Leveraged buy-out.
(finance) common practice at the target companies of leveraged buyouts, which involves heavy borrowing to buy back treasury shares at prices higher than the market. This renders the hostile takeover bid not only more costly due to the higher stock prices, but also less advantageous the higher level of debt reduces the company’s future profitability.
see Finance leasing.
(finance) acquisition of a joint-stock company with borrowed funds, by pledging the assets and future profits of the target company as collateral. The preference is to distinguish between “buy-out” or “takeover” if the investors are from outside the company; if they are from inside the company, the term used is “buy-in” or “manager buy-in.”
see Raider.
see Debt ratio.
see Finance leasing.
see Finance leasing.
see Leading and lagging indicators.
(finance) a bank that acts as lead manager during preparation of an issue or a loan syndicate. It normally handles contacts with the issuer, preparation and execution of the operation, including preparation of the contracts and prospectus, assembling the issue syndicate, the selling group, and placement.