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 Summary Entry Economics EV = 12.0x × $120m = $1,440m; fees = 2% × 1,440 = $28.8m; total uses = $1,468.8m Debt: Term Loan = 4.0x × 120 = $480m (9% cash, 1%/yr amort); Mezz = 1.5x × 120 = $180m (12% cash + 2% PIK) Sponsor equity = 1,468.8 − 660 = $808.8m (~55% of cap) Annual Model…Read the full answer
Here are the requested items: 1. Simplified Year-by-Year Table (FY2026-FY2030) Year Revenue EBITDA Cash Int. (TL) Cash Int. (Mz) Cash Taxes Capex ΔNWC FCF TL Balance Mz Balance 2026 972 136.08 36.00 18.00 17.12 29.16 4.86 30.90 360.00 135.00 2027 1037.84 154.78 33.60 19.44 20.45 31.13 5.19 44.12 315.88 133.56 2028…Read the full answer