Going Private Law and Legal Definition

Going private refers to the process of changing a public corporation into a private corporation. In this process, the public company’s outstanding stocks are purchased by private investors. As a result, the public company’s status as a publicly held corporation is terminated. A public company going private may also be in order to restructure their business. They might also want to go private to avoid the expense and regulations associated with remaining listed on a stock exchange.[Shurkin v. Golden State Vintners, Inc., 471 F. Supp. 2d 998 (N.D. Cal. 2006)]