Mini LBO Underwrite
You are underwriting a 5-year LBO for a private equity investment committee. Company (fictional): HarborTech Services (HTS) –…
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
518.51935 New TL: 276.34682 - 86.82747 = 189.51935 Mezz: PIK 194.8377888 * 0.02 = 3.896755776 New Mezz: 194.8377888 + 3.896755776 = 198.734544576 Ending Balances: TL: 189.52 Mezz: 198.73 Total Debt: 388.25 Exit (End of FY2030): Exit EBITDA: 206.6252668 Exit Multiple: 10.5x Exit EV: 206.6252668 * 10.5 = 2,169.5653014…Read the full answer