Operating performance in Swedish buyouts 1988-2003

Sammanfattning: This Master’s Thesis analyses changes in operating performance for a sample of 67 Swedish leveraged buyouts between 1988 and 2003. In the most extensive Swedish study of its kind, changes in firm growth, operating margins, investment activity and management of working capital are studied. Furthermore, changes in employment and leverage levels are examined. Our results report no significant industry adjusted improvements in operating performance in the first three years after the buyout, which is in contradiction to previous US and Swedish research. Although no conclusive results are found, we believe that the extensive collection of data on Swedish buyout target firms will be a valuable contribution to future related studies.