Reference no: EM133111110
Private Equity Issues and Opportunities
Q1. Describe the benefits and risks of an equity buyout compared to a leveraged buyout.
Q2. Why were LBO funds so successful from 2002 through July 2007? Describe what has happened since then.
Q3. What is a possible negative consequence of investing during private equity boom cycles?
Q4. From the perspective of existing LPs in a private equity fund, what are the benefits and considerations of annex funds?
Q5. Explain the advantages of private equity funds partnering with strategic buyers.
Q6. After initially finding success in M&A advisory businesses, what issues have arisen for private equity firms in this arena?
Q7. Annex funds attempt to address which of the principal risks outlined in Blackstone's IPO prospectus (Exhibit 20.10)?
Q8. Discuss "multiple expansion" in the context of value creation for private equity investments made following a financial crisis.
Q9. How have limited partners utilized the secondary market to participate in private equity?