An Examination of Leveraged Buyouts and Its Application to Sprouts Farmers Market
Open Access
Author:
Vipperla, Swati
Area of Honors:
Finance
Degree:
Bachelor of Science
Document Type:
Thesis
Thesis Supervisors:
Brian Spangler Davis, Thesis Supervisor Brian Spangler Davis, Thesis Honors Advisor Mihail Velikov, Faculty Reader
Keywords:
LBO Leveraged Buyout Private Equity Finance
Abstract:
This paper seeks to analyze the characteristics of successful leveraged buyouts and apply it to a case study of Sprouts Farmers Market. There is both a qualitative discussion on the various types of buyout deals and a breakdown of the actual transaction and a quantitative analysis that applies these factors to the case of Sprouts Farmers Market through a leveraged buyout financial model. As a result, the paper provides supporting evidence that Sprouts Farmers Market is an ideal target candidate for a successful leveraged buyout.
