Mini LBO Underwrite
You are underwriting a 5-year LBO for a private equity investment committee. Company (fictional): HarborTech Services (HTS) –…
Investment Committee Memorandum: HarborTech Services (HTS) 1. Financial Summary & Free Cash Flow Build All figures in $USD millions unless otherwise noted. Entry Sources & Uses (Close FY2025) Uses: Purchase Price ($1,440m) + Fees ($28.8m) = $1,468.8m Sources: Term Loan ($480m) + Mezzanine ($180m) + Equity ($808.8m) =…Read the full answer
Simplified Year-by-Year Financial Table (FY2026–FY2030) FY2026 Revenue: $972m (8% growth) EBITDA: $136.08m (14.0% margin) Cash Interest: Term Loan: $43.2m (9.0% of $480m) Mezzanine: $21.6m (12.0% of $180m) Cash Taxes: $17.07m (25% of EBITDA - cash interest) Capex: $29.16m (3.0% of revenue) ΔNWC: $3.6m (0.5% of…Read the full answer