Debt-Loading

Private Equity Firm ReGen Healthcare Invests $100M in Failing Genesis Healthcare, Beginning Four-Year Collapse to Bankruptcy

| Importance: 8/10

Genesis Healthcare, once the largest skilled nursing operator in the United States, narrowly avoids bankruptcy by accepting a $100 million investment from Joel Landau’s private equity firm ReGen Healthcare LLC, which receives 93% equity stake and two board seats in exchange. Genesis’ …

Genesis Healthcare ReGen Healthcare Joel Landau David Gefner Centers for Medicare and Medicaid Services healthcare nursing-home private-equity bankruptcy patient-harm +2 more
Read more →

Bain Capital and Thomas H. Lee Partners Complete $26.7 Billion Clear Channel Leveraged Buyout - Creating Debt Crisis

| Importance: 9/10

On July 24, 2008, Bain Capital and Thomas H. Lee Partners completed a historic $26.7 billion leveraged buyout of Clear Channel Communications, the nation’s largest radio broadcaster with over 1,200 stations. The transaction, led by Bain Capital (founded by Mitt Romney in 1984), loaded the …

Bain Capital Thomas H. Lee Partners Clear Channel Communications iHeartMedia Mitt Romney +1 more media-consolidation private-equity leveraged-buyout regulatory-capture debt-loading +3 more
Read more →

Bain, KKR, and Vornado Acquire Toys 'R' Us for $6.6 Billion, Loading Company with $5 Billion Debt

| Importance: 9/10

Private equity firms Bain Capital, KKR, and Vornado Realty Trust acquire Toys ‘R’ Us for $6.6 billion in a leveraged buyout, with only 20% ($1.3 billion) from PE firms’ capital while 80% ($5.3 billion) is borrowed debt loaded onto Toys ‘R’ Us itself. This debt burden …

Bain Capital KKR Vornado Realty Trust Toys R Us private-equity leveraged-buyout debt-loading wealth-extraction retail
Read more →

KKR's $31 Billion RJR Nabisco Leveraged Buyout Establishes Private Equity Wealth Extraction Model

| Importance: 8/10

Kohlberg Kravis Roberts (KKR) completes the largest leveraged buyout in history, acquiring RJR Nabisco for $25 billion in equity ($31.1 billion including assumed debt) at $109 per share, establishing the template for private equity wealth extraction that will be replicated thousands of times over …

KKR Henry Kravis Ross Johnson RJR Nabisco private-equity leveraged-buyout wealth-extraction debt-loading corporate-power
Read more →