Film

Barbarians at the Gate

1993 · 1993

The RJR Nabisco buyout played as farce, and still the quickest way to understand why a management buyout creates a conflict of interest. Read the book afterwards for the auction mechanics.

• Deals and M&A
• Incentives
• Activism and governance

1 idea from this film

• Case studyDeals and M&A

  A management buyout puts the seller on both sides of the table

  In a management buyout the insider is the buyer, so the board's job is to make the market, not take the offer.

  Any take-private, management-led bid, or fairness question in M&A and private equity interviews.