Defense against hostile takeovers: A leveraged recapitalization can deter unwanted takeover attempts by significantly increasing the company's debt, making it a less attractive target.

A leveraged recapitalization can be a powerful financing tool that can assist companies and their owners in meeting their business objectives. Following a leveraged recapitalization, company ...

Leveraged recapitalization. November 5, 2006 · In finance, when a company borrows money to pay its owners a special dividend. · A technique used by public companies to placate unhappy ...

Business owners who are considering a sale to achieve liquidity often overlook a viable and potentially attractive transaction alternative — the leveraged recapitalization or “recap.” Through a recap, ...

A few features of this leveraged recapitalization are a special cash dividend of $16.50 per share, representing 23% of the company’s stock price as of October 22, 2014, or approximately $2.75 ...

Companies that have announced a leveraged recapitalization in the past year and a half have outperformed the broader market by nearly 20% on a risk-adjusted basis, according to J.P. Morgan.

Dividend recapitalization activity plunged in the immediate aftermath of COVID-19 but, as markets recovered, investor appetite for recap deals swelled Leveraged loan and high yield bond issuance ...

Whether your company is going through a sale, initial public offering, private equity or leveraged recapitalization, a liquidity event is a critical process every business should take seriously.

Dell Inc said on Friday a leveraged recapitalization would be fraught with risks for the computer maker and would be unlikely to offer as much value as the $13.65-per-share buyout agreed with ...

The Second Circuit appeals court applied a safe harbor to a leveraged recapitalization of the utility business. By Alicia McElhaney. Sept. 20, 2024 7:11 pm ET | WSJ Pro. Share. Resize. Listen ...