| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 10489307 | Accounting Forum | 2012 | 11 Pages |
Abstract
⺠The private equity business model (PEBM) depends on leveraging returns on equity with debt finance. ⺠The current financial crisis is testing the viability of the PEBM. It is no longer on 'terra firma' but on 'shifting sands.' ⺠The case of EMI acquired by the private equity firm 'Terra Firma' reveals the difficulty in transforming an acquired firm's financials. ⺠The PEBM is not delivering spectacular returns to investors because funds drawn down generally exceed cash repayments.
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Social Sciences and Humanities
Business, Management and Accounting
Accounting
Authors
Tord Andersson, Colin Haslam,