Reminder that it’s not just the purchase by private equity, it’s the purchase by private equity *in a leveraged buyout.*
Basically, they fund the deal by taking out a loan against the company they’re buying, then *saddle the company with the cost of purchasing itself.* It instantly fucks the books.
Basically, they fund the deal by taking out a loan against the company they’re buying, then *saddle the company with the cost of purchasing itself.* It instantly fucks the books.
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ayumi shinozaki | 篠崎あゆみ
Friendly reminder that Joann Fabrics isn’t closing because it’s a bad business. It’s closing bc it was bought by a private equity firm. This is also what is happening to Hooters and what happened to US Toys R Us and Red Lobster. These companies are being dismantled intentionally.
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