Article Overview
There are three ways of handling the ESOP repurchase obligation: (1) recycling, (2) redeeming, and (3) releveraging. Recycling and redeeming are the most commonly used strategies. This chapter compares and contrasts the three methods and addresses the circumstances under which releveraging may be a viable strategy.
Original content written for The National Center for Employee Ownership, The ESOP Repurchase Obligation Handbook, Fifth Edition (2018). The full digital publication is available for purchase from NCEO here.
