Jacobin Radio Behind the News: Rule by Private Equity w/ Megan Greenwell
13 snips
Jul 7, 2025 
In this insightful discussion, journalist Lily Lynch shares her observations from the NATO summit, shedding light on its chaotic and costly nature. Megan Greenwell, author of 'Bad Company,' delves into the destructive impact of private equity, drawing attention to its ruthless practices and the detrimental effects on workers and communities. Together, they highlight the urgent need for political action and state legislation to regulate this powerful industry and protect vulnerable sectors like healthcare. It's a compelling exploration of today's pressing socio-economic issues.
AI Snips
Chapters
Books
Transcript
Episode notes
Private Equity's Leveraged Buyouts
- Private equity buyouts use mostly borrowed money, with the company itself responsible for repayment.
- Firms invest little of their own money but benefit regardless of the company's financial health.
Sale-Leasebacks Shift Costs
- Sale-leasebacks transfer a company's real estate ownership to investors and charge rent to that same company.
- This boosts profits for private equity but burdens the operating company with new costs and debt.
Private Equity vs. Venture Capital
- Venture capitalists depend on companies surviving and thriving to make profits.
- Private equity profits even if companies fail, emphasizing extraction over creation.
