Ph. Phan et Cwl. Hill, ORGANIZATIONAL RESTRUCTURING AND ECONOMIC-PERFORMANCE IN LEVERAGED BUYOUTS - AN EX-POST STUDY, Academy of Management journal, 38(3), 1995, pp. 704-739
This article reports the results of an ex post study of the effects of
leveraged buyouts (LBOs) upon the goals, strategy, structure, and per
formance of firms. Our study was designed to test arguments that can b
e logically derived from agency theory. We used a survey to collect da
ta on pre- and post-LBO goals, strategy, structure, and productivity f
or a sample of 214 firms that underwent buyouts between 1986 and 1989.
Our results do not enable us to reject hypotheses based upon agency t
heory.