Latest / The Acquisition Talk with Fexingo: Mergers, Buyouts, and Business Sales for Operators
How Private Equity Turns Cash Flow Into Debt
In this episode of The Acquisition Talk, Lucas and Luna dissect the mechanics of leveraged buyouts using a specific mid-market manufacturing case. They explore how private equity firms use target company cash flow to service acquisition debt, often leaving the acquired business vulnerable during downturns. With market rates shifting in October 2026, the margin for error has narrowed significantly. Listeners will learn the precise structure of first-lien credit facilities, the danger of covenant-lite agreements, and why operational efficiency gains rarely offset interest rate spikes. This is…
The skinny
The skinny isn't ready yet — notes appear once the transcript is processed.