Mini LBO Underwrite
You are underwriting a 5-year LBO for a private equity investment committee. Company (fictional): HarborTech Services (HTS) –…
1) Projected cash flows & debt (FY2026–FY2030, $m) (“FCF after debt service” = after interest, taxes, capex, ΔNWC, mandatory amort; applied to optional TL paydown) Year Revenue EBITDA TL Cash Int. Mezz Cash Int. Cash Taxes Capex ΔNWC FCF after debt service End TL Bal. End Mezz Bal. (incl.Read the full answer
HarborTech Services — 5-year LBO Entry funding ($m): Enterprise value is $1,440.0 (12.0 × $120.0 EBITDA), plus $28.8 of transaction fees. The $1,468.8 total is funded with a $480.0 Term Loan, $180.0 of mezzanine debt, and $808.8 of equity.Read the full answer