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Factbox-Private equity and sovereign wealth funds revive large leveraged buyouts
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(Reuters) -Leveraged buyouts are making a strong comeback after years of muted activity, fueled by private equity firms and sovereign wealth funds targeting high-profile technology, media and consumer companies.
The resurgence underscores cheap debt markets, abundant dry powder and a search for stable cash flows amid public market volatility, culminating in deals such as the proposed $55 billion takeover of Electronic Arts by Silver Lake, Saudi Arabia's Public Investment Fund and Affinity Partners.
A leveraged buyout, or LBO, is a deal in which a company is acquired largely with borrowed money.
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