Mini LBO Underwrite
You are underwriting a 5-year LBO for a private equity investment committee. Company (fictional): HarborTech Services (HTS) –…
HarborTech Services (HTS) – LBO Underwriting SOURCES & USES AT CLOSE (FY2025) Item Amount USES Enterprise Value (12.0x × $120m EBITDA) $1,440m Transaction Fees (2.0% of EV) $28.8m Total Uses $1,468.8m SOURCES Term Loan (4.0x × $120m) $480m Mezzanine (1.5x × $120m) $180m Equity (plug) $808.8m Total Sources $1,468.8m…Read the full answer
Simplified Year-by-Year Table (FY2026–FY2030) Year Revenue ($M) EBITDA ($M) TL Interest ($M) Mezz Interest ($M) Cash Taxes ($M) Capex ($M) ΔNWC ($M) FCF ($M) TL Balance ($M) Mezz Balance ($M) FY2026 972.0 136.1 43.2 21.6 17.8 29.2 0.4 23.9 456.1 183.6 FY2027 1,040.0 156.0 41.0 22.0 23.2 31.2 0.3 38.2 417.9 187.3 FY2028…Read the full answer