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 Analysis Here's the simplified LBO analysis based on provided information. 1) Year-by-Year Projections (FY2026-FY2030) - $M Year Revenue EBITDA Cash Interest (TL) Cash Interest (Mezz) Cash Taxes Capex ΔNWC FCF After Debt Service Ending TL Ending Mezz 2026 $972 $138.6 $36.0 $18.9…Read the full answer
Initial Setup & Equity Calculation Item Calculation Amount ($m) Purchase Price $120m × 12.0x 1,440.0 Transaction Fees $1,440m × 2.0% 28.8 Total Debt ($480m TL + $180m Mezz) 660.0 Initial Equity $1,440 + $28.8 − $660 808.8 Year-by-Year Model (FY2026–FY2030) (All figures in $m, rounded to 1 decimal.Read the full answer