Mini LBO Underwrite
You are underwriting a 5-year LBO for a private equity investment committee. Company (fictional): HarborTech Services (HTS) –…
HarborTech Services – LBO Underwriting Memo ENTRY CAPITALIZATION (Close FY2025) Item Calculation Amount Purchase Price 12.0x × $120M $1,440M Transaction Fees 2.0% × $1,440M $28.8M Total Uses $1,468.8M Sources Multiple Amount Term Loan 4.0x × $120M $480.0M Mezzanine 1.5x × $120M $180.0M Equity Plug $808.8M Total Sources…Read the full answer
Here is the underwriting analysis and LBO model for HarborTech Services (HTS). FY2026–FY2030 LBO Model Table ($ millions) Metric FY2026 FY2027 FY2028 FY2029 FY2030 Revenue $972.00 $1,040.04 $1,102.44 $1,157.56 $1,215.44 YoY Growth % 8.0% 7.0% 6.0% 5.0% 5.0% EBITDA $136.08 $156.01 $176.39 $191.00 $206.62 EBITDA Margin %…Read the full answer