Mini LBO Underwrite
You are underwriting a 5-year LBO for a private equity investment committee. Company (fictional): HarborTech Services (HTS) –…
HarborTech Services (HTS) – 5-Year LBO Analysis Sources & Uses at Close (FY2025) Sources $m Uses $m Term Loan (4.0x) 480.0 Purchase price (12.0x × $120) 1,440.0 Mezzanine (1.5x) 180.0 Transaction fees (2.0% × EV) 28.8 Sponsor Equity (plug) 808.8 Total 1,468.8 Total 1,468.8 Initial Mezz: $180m; Initial TL: $480m.Read the full answer
1) Year-by-Year Table (FY2026–FY2030) Year Revenue EBITDA Cash Interest (Term + Mezz) Cash Taxes Capex ΔNWC FCF After Debt Service Term Loan Balance Mezzanine Balance FY2026 $972M $136.08M $64.8M $17.82M $29.16M $0.36M $23.94M $456.06M $183.6M FY2027 $1,060.44M $159.07M $64.8M $23.57M $31.81M $0.44M $38.45M $417.61M…Read the full answer