Private equity firm experience and buyout vendor source: What is their impact on efficiency?

Yan Alperovych (), Kevin Amess () and Mike Wright
Additional contact information
Yan Alperovych: EM - EMLyon Business School, Centre for Management Buyout Research - Nottingham University Business School [Nottingham]

Post-Print from HAL

Abstract: Using a dataset comprising 88 Private Equity (PE) backed Leveraged Buyouts (LBOs) completed and exited during the period 1999–2008, this study sheds new light on the impact of buyout vendor source and PE investor experience on post-buyout efficiency during the first 3 years after the transaction. There are three main findings. First, we observe increases in post-buyout efficiency over time, although LBOs from different vendor source differ in terms of post-transaction efficiency levels and improvement trajectories. Private and divisional buyouts are more efficient than the average. Divisional buyouts show higher efficiency improvements than private and secondary buyouts. Secondary buyouts remain below the average. Second, multivariate analyses suggest a positive and significant effect of PE firm experience on post-buyout efficiency. Finally, the observed efficiency patterns seem to be convex, suggesting the major improvements happen in the first 2 years after the transaction.

Date: 2013-08-01
References: Add references at CitEc
Citations: View citations in EconPapers (8)

Published in European Journal of Operational Research, 2013, 228 (3), 601-611 p. ⟨10.1016/j.ejor.2013.01.019⟩

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Journal Article: Private equity firm experience and buyout vendor source: What is their impact on efficiency? (2013)
Working Paper: Private Equity Firm Experience and Buy-out Vendor Source: What is their Impact on Efficiency? (2012)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-02312987

DOI: 10.1016/j.ejor.2013.01.019

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().