Mini LBO Underwrite
You are underwriting a 5-year LBO for a private equity investment committee. Company (fictional): HarborTech Services (HTS) –…
MEMORANDUM To: Investment Committee From: Underwriting Team Date: October 26, 2023 Subject: Project Harbor – HarborTech Services (HTS) LBO Underwriting Transaction Overview & Sources & Uses (at Close, end of FY2025) Entry EBITDA: $120.0m Entry Multiple: 12.0x Enterprise Value (EV): $1,440.0m Transaction Fees (2% EV)…Read the full answer
HarborTech Services – 5‑year LBO (base case) FY Revenue EBITDA Cash Int – Term Cash Int – Mezz Cash Taxes Capex ΔNWC FCF after debt service (excess cash used for term‑loan paydown) Ending Debt (Term + Mezz) 2026 972.0 136.1 43.2 21.6 17.8 29.2 0.4 19.1 639.7 2027 1,040.0 156.0 41.0 22.0 23.2 31.2 0.3 33.6 605.2 2028…Read the full answer