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How to understand sale and leaseback transactions

Sale and leasebacks have become commonplace in 2020. They can be good and bad for investors. Here's what you need to consider
How to understand sale and leaseback transactions

This year has seen many companies conduct sale and leaseback transactions to raise money to cope with the impact of the Covid-19 pandemic. But what are they and are they good or bad for shareholders? Like many things in the world of finance, it depends.

 

What are sale and leasebacks?

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