The financial sector companies involved are first in line if it goes bad. They don't care if the company survives as long as it has enough assets to sell off to get paid.
The company would have to be severely undervalued (or perhaps perceived to be severely mismanaged) for this to be the case, which seems strange to me. Then again, the typical PE strategies (loading the company with debt and cutting investments in future products & services) also seem like very bad business strategies. I really don't understand why anyone would loan money for a buyout, or buy a (share of the) company which had recently been through it.
