A distressed company has 100m FV of senior secured loans trading at .70, 100M FV of bonds trading at .15, and MV of equity at $15M. What is that company's enterprise value?
Is it $215 or $100?
Trending Content - Investment Banking Forum
| +67 | PWP acquisition by Piper cancelled | 27 | 1d |
| +57 | Is my MD a grifter? 16 years, 8 firms | 17 | 3h |
| +43 | No return offer - UPDATE. | 12 | 1d |
| +40 | Article: UBS Wall Street Rebuild Is a Study in Management Failure | 7 | 2d |
| +38 | "Corporate & Investment Banking" Analyst - Why? | 34 | 42m |
| +28 | Lack of talent in IB! | 25 | 7h |
| +28 | What Are The Best Boutiques 2026/2027 | 16 | 8h |
| +24 | Wells Fargo Calling Themselves a BB? | 16 | 10h |
| +23 | Moat of modelling in PE/Finance completely vanished; | 3 | 1d |
| +21 | Internal lateral from coverage to M&A (focused on coverage) | 6 | 1d |
Career Resources
Technically speaking you use market value. In practice you use face UNLESS the company is distressed, in which case you use market.
Thanks - makes sense! I just wanted to make sure it wasn't a trick question
Voluptate sit sit harum voluptas voluptatum. Beatae ipsum dolor voluptatum odio quia. Voluptas rerum quaerat molestias culpa ut voluptatem. Omnis dolore et accusamus animi sed sed.
Quibusdam excepturi temporibus dolorum laborum ut velit sit. Dolorum qui unde rerum consequatur cum nam enim. Asperiores et perferendis labore accusantium blanditiis. Sed dolorum aliquid cumque cumque. Consequuntur eveniet et eos quia ducimus neque. Veritatis veritatis non aspernatur officia quasi omnis. Itaque magnam itaque possimus qui praesentium provident.
Vel quia expedita et enim minus alias magni. Eum eum sit officia et.
Quia suscipit facere ad soluta. Sequi tempore ab hic. Suscipit tenetur non eos sit maxime dolor. Est quo recusandae est asperiores neque officia excepturi.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...