Using a unique proprietary data set of 1,980 realized and unrealized buyouts completed between 1986 and 2010, we examine entry and exit pricing in buyouts and its influence on private equity (PE) sponsors' returns. We find that besides leverage and operational improvements, EBITDA multiple...

We use a proprietary dataset to explore (i) the financial covenant structure and (ii) the determinants of their restrictiveness in leveraged buyouts. With respect to (i) we find that the covenant structure is more standardized in sponsored than in non-sponsored loans: the former show less...

The sale of a company, where both buyer and seller are private equity funds, is commonly known as a secondary buyout. While the empirical evaluation of value creation and its drivers on deal level has been one of the focus areas of private equity research, this paper presents a specific analysis...

Despite an increasing importance of secondary buyouts in the private equity market, little is known about the perspective of the seller and his motives for choosing this exit type. Do private equity firms have a clear pecking order regarding the exit channels for their portfolio companies? Is a...

Purpose – While secondary buyouts have gained in importance in recent years, specific drivers of value creation of this type of private equity deal are not yet well understood. Through the in-depth analysis of the acquisition of Brenntag by BC Partners, we develop propositions on the value...

This paper analyses whether secondary buyouts have a value creation profile and offer equity returns different to that of primary buyouts. Using a sample of 2,456 buyout transactions (including 448 secondary buyouts), we find no evidence that secondary buyouts generate lower equity returns or...

Most of the existing research on value creation drivers in private equity buyouts is restricted to the US and the UK, whereas continental European countries are not included. In addition, most of the generally applied methods for measuring the importance of different value creation drivers do...

Understanding value creation at the transaction level is at the heart of explaining private equity (PE) returns. Taking advantage of a proprietary sample of 2,029 international buyout deals executed between 1984 and 2013 we provide detailed evidence on financial, market and operational value...

In this paper we investigate the returns to venture capital firms from acquisition exits. Starting from M&A literature, we develop three detailed categorizations of acquisitions based on the acquirer's motive and related agency issues. We use a proprietary data set of 2,356 venture...

Das mögliche Spannungsverhältnis zwischen kommerziellen Interessen und gesellschaftlichen und verfassungsrechtlichen Anforderungen an die elektronischen Medien ist Thema seit Einführung privaten Rundfunks. Die Beteiligung von Finanzinvestoren im Medienbereich scheint die Spannung weiter zu...