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
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