Published in:THE OXFORD HANDBOOK OF PRIVATE EQUITY, D. Cumming, ed., Oxford University Press, March 2012
Extent:
1 Online-Ressource (25 p)
Language:
English
DOI:
10.2139/ssrn.2031103
Identifier:
Origination:
Footnote:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments December 10, 2011 erstellt
Description:
This chapter examines private equity's unique contracting arrangements for the acquisition of public targets. The shifting terms and structure of the private equity contract are explored, including revisions made in light of the exogenous shock of the financial crisis. Private equity's standard contractual arrangements provide optionality to abandon agreed acquisitions expanding the universe of potential acquisition targets. I argue that the success of private equity is in part due to these unique transactional arrangements