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To fully grasp the implications of Jersey Mike’s acquisition, it’s essential to understand the private equity landscape. Private equity investments began in the mid-20th century, focusing on pooling capital to acquire and restructure underperforming companies. During the 1980s, factors like low-interest rates allowed this sector to flourish, transforming into a dominant force on Wall Street. Iconic private equity firms such as KKR and the Blackstone Group, with assets exceeding $1 trillion, pioneered the art of leveraging debt to gain control of companies, often leading to significant profits regardless of the businesses' real performance.