Mini LBO Underwrite
You are underwriting a 5-year LBO for a private equity investment committee. Company (fictional): HarborTech Services (HTS) –…
Here is the underwriting analysis for HarborTech Services (HTS). Transaction Summary & Sources & Uses Enterprise Value (EV): $120.0\text{m} \times 12.0\text{x} = \$1,440.0\text{m}$ Transaction Fees: $2.0\% \times \$1,440.0\text{m} = \$28.8\text{m}$ Total Uses: $\$1,440.0\text{m} + \$28.8\text{m} = \$1,468.8\text{m}$…Read the full answer
Year-by-Year Financial Model (FY2026–FY2030) Assumptions & Calculations Logic: Interest: Calculated on beginning debt balance. Term Loan amortizes 1.0% annually (cash). Mezzanine accrues 2.0% PIK annually. Taxes: 25% of (EBITDA - Cash Interest). Tax shields applied to cash interest only.Read the full answer