Mini LBO Underwrite
You are underwriting a 5-year LBO for a private equity investment committee. Company (fictional): HarborTech Services (HTS) –…
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
HarborTech Services (HTS) – LBO Underwriting Memorandum ENTRY & SOURCES/USES Entry Enterprise Value FY2025 EBITDA: $120m Purchase multiple: 12.0x Enterprise Value: $1,440m Transaction Fees 2.0% × $1,440m = $28.8m (funded by equity) Total Sources Required: $1,440m + $28.8m = $1,468.8m Debt at Close Tranche Multiple…Read the full answer