(2) is how private equity tends to operate. You’re correct about the definition. And, no, lbos are the buyer borrowing a lot to buy another company, while usi

(2) is how private equity tends to operate. You’re correct about the definition. And, no, lbos are the buyer borrowing a lot to buy another company, while using the assets of the acquisition as collateral. The debt is still in the buyer’s name AFAIK (may be wrong)