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
518.51935 New TL: 276.34682 - 86.82747 = 189.51935 Mezz: PIK 194.8377888 * 0.02 = 3.896755776 New Mezz: 194.8377888 + 3.896755776 = 198.734544576 Ending Balances: TL: 189.52 Mezz: 198.73 Total Debt: 388.25 Exit (End of FY2030): Exit EBITDA: 206.6252668 Exit Multiple: 10.5x Exit EV: 206.6252668 * 10.5 = 2,169.5653014…Read the full answer