Original scientific paper
https://doi.org/10.30925/zpfsr.39.1.10
LEVERAGED BUYOUT TRANSACTIONS (LBOs)
Saša Prelič
; Law Faculty University of Maribor, Maribor, Slovenia
Antonija Zubović
orcid.org/0000-0001-8238-3495
; University of Rijeka Law Faculty, Rijeka, Croatia
Abstract
The article analyzes leveraged buyout transactions, pointing out to the open issues in their application. Authors highlight the application of provisions concerning group of companies as well as mergers and acquisitions in LBO transactions. Furthermore, since business practice has shown that LBOs are often used in takeovers, authors analyze the application of LBOs in takeover procedures. In addition, the article
analyzes the European regulatory framework for the regulation of LBOs and compares the adopted solutions in Croatian, Slovenian and Italian law. Comparing the solutions of these three legislations, authors conclude that there are significant differences between them. While Croatia and Italy adopted the provisions of Second Company Law Directive, Slovenian legislator significantly tightened the conditions for using LBOs and de facto precluded their application. In conclusion, authors evaluate the consequences of the adopted provisions and looks for appropriate solutions de lege ferenda.
Keywords
leveraged buyout (LBO); management buyout (MBO); takeover; target company; financial assistance; group of companies; mergers and acquisitons
Hrčak ID:
199756
URI
Publication date:
9.4.2018.
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