Mini LBO Underwrite
You are underwriting a 5-year LBO for a private equity investment committee. Company (fictional): HarborTech Services (HTS) –…
1) Year-by-Year Model (FY2026–2030) Line Item FY2026 FY2027 FY2028 FY2029 FY2030 Revenue $972.0 $1,040.0 $1,102.5 $1,157.6 $1,215.5 EBITDA $136.1 $156.0 $176.4 $191.0 $206.6 EBITDA Margin 14.0% 15.0% 16.0% 16.5% 17.0% Cash Interest - TL $43.2 $42.8 $42.3 $41.9 $41.5 Cash Interest - Mezz $16.2 $16.2 $16.2 $16.2 $16.2…Read the full answer
HarborTech Services — 5-Year LBO Underwriting Entry Summary Amount Multiple Enterprise Value $1,440.0m 12.0x Transaction Fees (2.0%) $28.8m — Total Uses $1,468.8m Sources Amount Multiple Term Loan (9.0% cash, 1.0% amort) $480.0m 4.0x Mezzanine (12.0% cash + 2.0% PIK) $180.0m 1.5x Sponsor Equity $808.8m Total Sources…Read the full answer