Leveraged Buyout. Takeover of a company or controlling interest in a company, using a significant amount of borrowed money, usually 70% or more of the total purchase price.

Use LBO in a sentence

You may find that the best way for your company to proceed is to take on a LBO and get something while you can.

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Dan's rivalry with Phillip increased after Phillip bought out Dan's McBurger's in 2002, with the help of an LBO funded by the bank.

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Many believe an LBO of a long-standing company, often family owned and geographically placed, is wrong, but economic studies have indicated that LBO's more efficiently utilize existing resources and streamline costs if conducted properly.

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