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Privatization is the incidence or process of transferring ownership of business from the public sector to the private sector. An example of this could be when a private equity firm conducts a leveraged buyout (LBO) to turn a publicly traded company private.

A reverse merger is the acquisition of a public company by a private company to bypass the lengthy and complex process of going public. Essentially, a public shell will acquire a private operating company and thus take the private company public.

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