Big buyouts Storming the gate

KKR’s $25bn acquisition of RJR Nabisco has held the world record for the largest leveraged buyout for 17 years. That record may finally be about to be broken. Last week five private equity houses spent $15bn on TDC, a Danish telecoms company. Meanwhile, financial buyers are putting the final touches on $16bn bids for US grocer Albertson’s. The $20bn or, even $25bn buyout, isn’t far behind. «How come?» one might ask. After all, conventional wisdom is that buyout houses don’t like to invest more...