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Comment by GolfyMcG

This is what a PE (Private Equity) Firm basically does from my understanding.

They are a company, that buys, (hopefully) improves, and then sells companies. For example, a PE Firm might have some expertise in mining. They hear about a company that builds some sort of mining technology. They've done pretty well so far but they've really leveled out. The PE Firm decides to buy them, install a new CEO, revise some business practices to help cut costs, and now as the same business they bought but with a better bottom-line. They then sell it.

What you're describing is like an earlier stage PE firm.

parent GolfyMcG 10 years ago

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