Leverage buyouts are just a symptom of the problems in the system
In theory, leverage buyouts make perfect sense, kinda like a mortgage. You get a loan to buy something with that same as a collateral.
The fact that these usually ends in worse conditions for everyone is not because leverage buyouts are the problem, but the private ownership. Toys r’ us should have been owned by the workers, man utd by the fans, as so forth
All leveraged buyouts ought to be illegal, not just this one.
Leverage buyouts are just a symptom of the problems in the system
In theory, leverage buyouts make perfect sense, kinda like a mortgage. You get a loan to buy something with that same as a collateral.
The fact that these usually ends in worse conditions for everyone is not because leverage buyouts are the problem, but the private ownership. Toys r’ us should have been owned by the workers, man utd by the fans, as so forth