In a leveraged buyout, the equity holders expect a successful buyout if:

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In a leveraged buyout, success is typically anticipated if the firm can generate sufficient cash flow to manage the debt in the initial years, there's a clear exit strategy such as taking the company public or selling it within 3 to 7 years, the company remains attractive to potential buyers as the buyout matures, and there's an option to dismantle the company and sell its parts if necessary. All these factors contribute to the potential success of a leveraged buyout.

In a Leveraged Buyout, the Equity Holders Expect a Successful