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How to keep the barbarians at bay

The recent attempted buyout of Sainsbury's showed that no one is safe from the clutches of private equity; cash-rich houses are now clubbing together in joint bids to target even the largest names. Matthew Attwood explains the consequences for credit quality, and what investors can do to protect themselves

The $20 billion buyout of Sainsbury's that faltered in April would have been Europe's largest, outstripping the current record-holder, last year's $15 billion purchase of Dutch telecom group TDC by a consortium led by Kohlberg Kravis Roberts (KKR) and The Blackstone Group. While the combined might of CVC Capital Partners, KKR, TPG Capital and Blackstone proved no match for the Sainsbury family's

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