Consolidation of Financial Statements: A Brief Introduction
In finance terms, consolidation refers to the incorporation of the financial statements of all subsidiaries into the financial statements of the parent company. Consolidation of financial statements requires the parent company to integrate and combine all its financials to create a standard-form income statement, balance sheet, and cash flow statement, as part of a set […]
Leveraged Buyout Acquisitions
What is a Leveraged Buyout (LBO) Transaction? A Leveraged Buyout (LBO) transaction is the acquisition of an entity using significant amounts of loaned capital to meet the consideration. LBO transactions can go up to 9:1 ratio of Debt to Equity. In a Leveraged Buyout transaction, the target company’s assets become collateral for the loan. LBOs […]