A leveraged buyout (LBO) can best be defined as:

A. Going private transactions in which a large percentage of the money used to buy the stock is borrowed. Often incumbent management is involved.

B. All publicly owned stock in a firm is replaced with complete equity ownership by a private group.

C. Agreement between firms to cooperate in pursuit of a joint goal.

D. A corporate takeover bid communicated to the shareholders through a stock exchange.

E. Attempts to gain control of a firm by soliciting a sufficient number of shareholder votes to replace existing management.