Within private equity strategies, the CFA Institute differentiates among leverage buyouts, venture capital, and growth capital. Leverage buyouts can be segregated into MBOs and MBIs. Which of the following sentences better reflects the main difference between both types of leverage buyouts?

• a) In MBOs (Management BuyOuts), the current management team is being replaced and the acquiring team will be involved in managing the company. In MBIs (Management BuyIns), the current management team is part of the group of investors buying the company.

• b) In MBIs (Management BuyIns), the current management team is being replaced and the acquiring team will be involved in managing the company. In MBOs (Management BuyOuts), the current management team is part of the group of investors buying the company.

• c) In MBIs (Management BuyIns), the current management team has the intention of taking the company private, and that’s why leverage is a key element. In MBOs (Management BuyOuts), the current management team has the intention of taking the company public.