Mini LBO Underwrite
You are underwriting a 5-year LBO for a private equity investment committee. Company (fictional): HarborTech Services (HTS) –…
HarborTech Services LBO Analysis Financial Projections FY2026-FY2030 Entry Assumptions FY2025 Revenue: $900M FY2025 EBITDA: $120M (13.3% margin) Purchase Price: $1,440M (12.0x EBITDA) Transaction Fees: $28.8M (2.0% of EV) Total Investment: $1,468.8M Capital Structure Term Loan: $480M (4.0x EBITDA) Mezzanine: $180M…Read the full answer
1) Projected cash flows & debt (FY2026–FY2030, $m) (“FCF after debt service” = after interest, taxes, capex, ΔNWC, mandatory amort; applied to optional TL paydown) Year Revenue EBITDA TL Cash Int. Mezz Cash Int. Cash Taxes Capex ΔNWC FCF after debt service End TL Bal. End Mezz Bal. (incl.Read the full answer