- Club Deal
- A private equity buyout or the assumption of a controlling interest in a company that involves several different private equity firms. This group of firms pools its assets together and makes the acquisition collectively. The practice has historically allowed private equity to purchase much more expensive companies together than they could alone. Also, with each company taking a smaller position, risk can be reduced.
While club deals have grown in popularity in recent years, there are many issues that can arise related to regulatory practices, conflicts of interest and market-cornering. For example, there are concerns that club deals decrease the amount of money that shareholders receive, as a group of private equity firms has fewer parties to bid against.
There are some private-equity firms that do not engage in club deals as a rule, but the choice is up to the firm and the wishes of the limited partners who make most of the big money decisions within those firms. As with many large private equity deals, the main objective is to fix up and then dress up the acquisition for future sale to the public.
Investment dictionary. Academic. 2012.
Look at other dictionaries:
club deal — USA A group of private equity funds which join together to make a larger investment. Club deals are often seen in the large auctions of public companies and going private transactions. Practical Law Dictionary. Glossary of UK, US and… … Law dictionary
Club deal — A club deal, in finance, refers to a leveraged buyout or other private equity investment that involves several different private equity investment firms. Club deal can also be referred as syndicated investment. In a club deal, the investor group… … Wikipedia
club deal — See: syndicated bank facility … Accounting dictionary
club deal — See syndicated bank facility … Big dictionary of business and management
Deal Town F.C. — Deal Town Full name Deal Town Football Club Nickname(s) The Fivers or Dealers Founded 1908 (as Deal Cinque Ports) … Wikipedia
Deal or No Deal (U.S. syndicated game show) — Logo Format Game show Created by John de Mol … Wikipedia
Club 18-30 — Type Private Industry Package holidays Founded 1970 Headquarters Bradford, England, UK Area served United Kingdom, Spa … Wikipedia
Deal's Gone Bad — Origin Chicago, Illinois Genres Reggae, Ska, Soul Years active 1994–present Labels Jump Up!, Megalith … Wikipedia
Club 21 — Pte Ltd Type Private Industry Fashion retailing Founded 1972 Founder(s) Mrs … Wikipedia
Club cricket — is a mainly amateur, but still formal, form of the sport of cricket, usually involving teams playing in competitions at weekends or in the evening. There is a great deal of variation in game format although the Laws of Cricket are always observed … Wikipedia