Comments on: A Cheap Buyout http://www.tasgall.com/2007/07/02/a-cheap-buyout/ Peering into the Cauldron of the Gods... Fri, 27 Aug 2010 09:05:17 +0000 hourly 1 http://wordpress.org/?v=3.0.1 By: Jason G. http://www.tasgall.com/2007/07/02/a-cheap-buyout/comment-page-1/#comment-351 Jason G. Mon, 02 Jul 2007 11:41:33 +0000 http://www.tasgall.com/2007/07/02/a-cheap-buyout/#comment-351 Western Digital didn't have much trouble raising the money for this $1b buyout (they have over $875m in cash after all), but other buyouts seem to be running into a little bit of resistance... Mish has a <a href="http://globaleconomicanalysis.blogspot.com/2007/07/sea-of-change.html" rel="nofollow">decent look at some of the deals that have faltered lately...</a> When the credit markets tighten, that means fewer people interested in the ridiculously low premium over treasuries for many of these deals. Oh, and I'm sure we'll hear more about toggle bonds if the buyout bingo continues... Western Digital didn’t have much trouble raising the money for this $1b buyout (they have over $875m in cash after all), but other buyouts seem to be running into a little bit of resistance…

Mish has a decent look at some of the deals that have faltered lately…

When the credit markets tighten, that means fewer people interested in the ridiculously low premium over treasuries for many of these deals. Oh, and I’m sure we’ll hear more about toggle bonds if the buyout bingo continues…

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