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 Underwriting 1. Sources & Uses (Close FY2025) Uses Amount ($m) Sources Amount ($m) x EBITDA Enterprise Value (12.0x) 1,440.0 Term Loan (9% cash, 1% amort) 480.0 4.0x Transaction Fees (2.0%) 28.8 Mezzanine (12% cash + 2% PIK) 180.0 1.5x Total Uses 1,468.8 Equity 808.8 5.5x Total…Read the full answer
Simplified Year-by-Year Table (FY2026–FY2030) Year Revenue ($M) EBITDA ($M) TL Interest ($M) Mezz Interest ($M) Cash Taxes ($M) Capex ($M) ΔNWC ($M) FCF ($M) TL Balance ($M) Mezz Balance ($M) FY2026 972.0 136.1 43.2 21.6 17.8 29.2 0.4 23.9 456.1 183.6 FY2027 1,040.0 156.0 41.0 22.0 23.2 31.2 0.3 38.2 417.9 187.3 FY2028…Read the full answer