Part of the acquisition capital as Cash-in in a Search Fund transaction.

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September 29, 2023

by a searcher from Fundação Getulio Vargas, São Paulo - Escola de Administração de Empresas de São Paulo in São Paulo, SP, Brasil

Has anyone had the experience of a buyout acquisition in which part of the capital was invested (cash-in) into the company instead of going all to the seller (cash-out)? In what cases would a transaction like this make sense for a Search Fund? What are the risks?

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