MANAGEMENT BUYOUT - MBO
The firm managers and/or executives will buy the controlling interest in the company from existing major shareholders. In most management buyouts, the group will be required to borrow large capital sums to afford paying these shareholders, which leads to the company having a greater amount of debt on its balance sheet.
In most MBO cases, the management will buy out all outstanding shareholders and make the company private, believing the management group has the right skills in leading the business successfully, if the ownership is controlled.
POPULAR TERMS
Debt Discharge
Debt Distance is the cancellation of a debt. Debt discharge results in taxable income to the debtor unless the forgiveness is a gift or bequest. Wh ...
Prudent-Person Rule
A legal maxim that restricts the discretion in a client's account to investments that a prudent person seeking reasonable income and preservati ...
LindeX
Online service or exchange that is made and run by Linden Lab, developer of digital entertainment. The service lets users to trade Linden Dollars ( ...
Loan Commitment
A binding promise from a lender that a loan amount will be drawn down or to be contractually funded at a specified interest rate, certain period, a ...
Carve-Out
Partial divestiture of a business unit. The firm is not selling that unit overnight and may instead sell an equity share in the business or spin it ...
POPULAR ARTICLE
SEE FOREX TUTORIAL
Featured Investment: The American Depository Receipt
Investments are what trading is all about. And knowing about the various available investment options and how to trade them is one of the keys to a ...
Inflation and Investments
“How does inflation affect my investments?”
Most investors ask this question, particul ...
Everything You Need To Know About Stock Trader Types
The perks and benefits of being a stock trader is one of the most coveted but first you must be a successful a stock trader. A lot of people go int ...
Ethical Investing: Instruments for Ethical Investing
The investment instruments available to ethical investors are similar to those available to all other investors, including bonds, exchange-traded f ...
Starting Your Own Small Business: Financing a Business
After choosing the business you want to go into, regardless of the line of business, you need a startup capital in order to keep the business going ...
ECONOMIC CALENDAR
| Time | Country | Indices | Period |
|---|---|---|---|
| 01:01 | Rightmove House Prices | Jul | |
| 04:00 | Real GDP | 2 quarter | |
| 04:00 | Real GDP (YTD) | 2 quarter | |
| 04:00 | Industrial production | Jun | |
| 04:00 | Fixed Asset Investment | Jun | |
| 04:00 | Retail Sales | Jun | |
| 04:00 | NBS Press Conference | ||
| 04:00 | Unemployment Rate | Jun | |
| 10:00 | Trade Balance | May |
