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39. LBO Deep Dive: Caesars Palace Coup, Part I

The Wall Street Skinny

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Leverage Buyouts and Restructuring at Caesar's Palace

This chapter explores the leverage buyout of Haras, which renamed itself Caesar's Palace, by private equity firms Apollo and TPG. It delves into the deal structure, the involvement of co-investors, and the financial difficulties faced by the company after the LBO. The chapter also discusses the dynamics between private equity firms and businesses during the acquisition process, regulations in place to prevent questionable practices, and the importance of debt structure in investor confidence.

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