Management buyout refers to acquisitions by management. It is a method that corporate managers and senior management employees acquire a part or all of the company and take over management rights and become independent. There is an effect close to so-called goodwill division, and procurement of acquisition funds is often done by receiving investment from LBO and investment fund. Even in Japan, large companies such as Skylark, Pokka and the World are introduced one after another due to privatization of stocks. In cases where companies are listed on stock exchanges, management buy-outs are sometimes done when we want to rebuild management. Management buyouts will be abolished once the corporate management team buys all the listed shares, but it is not to sell the company after that. In companies, when it is listed, there are things that shareholders have eyes on, so bold management reforms can not be made, so there is a case where we tackle management reform by taking a management buyout.
It is possible to list again after delisting
Although it is necessary to submit various disclosure documents when listed on the stock market, there are cases in which management buyouts are done to cost a lot. In addition, such a method may be taken even if it becomes a threat to be able to trade M & A to other companies. In a company that made a management buyout, there was an American PC maker. Personal computer manufacturers carried out management buyouts to rebuild their management, as the management became worse as rumors of company selling were caused by the spread of tablets and smartphones. In addition, there was a publishing company listed in the management buyout in Japan. This publishing company has decided to delist as it has been able to raise the shareholding ratio so much that M & A is done by other companies. Other than that, after a management buyout, such as an Izakaya chain, I had a listing again in a few years. But once we have abolished the listing, we must also remember that it is difficult to get the trust of investors again.