There's Still Life In The Old Lbo

Banks have all but pulled out of leveraged-buyout loans. Junk-bond investors, already trying to pare back their holdings in the many deals that have gone sour, want no part of new deals. Insurance companies and other financial institutions have turned supercautious and very selective. No wonder LBOs are in the dumps (chart). Who's going to pony up the money?

To continue reading this article you must be a Bloomberg Professional Service Subscriber.