Mini LBO Underwrite
You are underwriting a 5-year LBO for a private equity investment committee. Company (fictional): HarborTech Services (HTS) –…
LBO Model Summary ($m) Entry Calculations: Enterprise Value (EV): $120m * 12.0x = $1,440.0m Transaction Fees: $1,440m * 2.0% = $28.8m Term Loan: $120m * 4.0 = $480.0m Mezzanine: $120m * 1.5 = $180.0m Equity Contribution: ($1,440.0 + $28.8) - ($480.0 + $180.0) = $808.8m Annual Cash Flow & Debt Schedule: FY ($m) 2026E…Read the full answer
HTS LBO Model Year-By-Year Projections Year Revenue EBITDA Cash Interest (TL) Cash Interest (Mezz) Cash Taxes Capex ΔNWC Free Cash Flow TL Balance Mezz Balance 2025 $900.00m $120.00m $43.20m $21.60m $0.00m $27.00m $0.00m -$28.80m $480.00m $198.00m 2026 $972.00m $136.08m $43.20m $21.60m $12.78m $29.16m $3.60m $25.74m…Read the full answer